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VW to launch midsize SUV in US
![VW is to launch a new SUV in the USA to plug a gap in its existing portfolio. Image:](https://biz-file.com/c/1401/169907.jpg)
The new seven-seater is part of a US$7bn investment in North American operations over the next five years, VW's chief executive Martin Winterkorn said at a reception held on the eve of the Detroit auto show.
"The US is a cornerstone of our 2018 strategy," Winterkorn told reporters.
"We have set our goal: Volkswagen group of America aims to sell a million Volkswagen and Audi cars per year in the US by 2018," he added.
"We are taking up the challenge with confidence, total commitment and the necessary staying power to achieve it," he said.
The largest European car manufacturer had previously announced plans to invest US$5bn by 2015. Winterkorn did not specify how the additional funds will be spent.
The VW group - which also includes the Audi, Porsche, Bentley, Bugatti and Lamborghini brands - has managed to nearly double its US sales since 2008, setting a new record of 611,700 deliveries in 2013.
But sales of the Volkswagen brand fell 6.9% in 2013 even as the market as a whole grew 7.6%. That led the overall automotive group's sales to trail the market, growing just 2.6%.
Analysts have cited the lack of a midsize sport utility as one of the reasons for the brand's failure to compete with other manufacturers.
Source: AFP via I-Net Bridge
Source: I-Net Bridge
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