Volkswagen Group of America will build a US$40m warehouse in Roane County, Tennessee, for distributing domestic auto parts for the Chattanooga-made Passat. The 400,000 sq ft facility is expected to open by spring 2013 and will employ up to 45 people by 2016.

Addressing the need for increased infrastructure, the facility will begin as a redistribution centre to service warehouses and will later expand to include a parts distribution centre. The redistribution master depot will support the US, Canada and Mexico. The parts distribution operation will improve service parts delivery times to over 100 dealers in the surrounding regions.