{"id":81192,"date":"2025-03-14T11:45:02","date_gmt":"2025-03-14T15:45:02","guid":{"rendered":"https:\/\/autosector.com\/?p=81192"},"modified":"2025-03-14T11:45:02","modified_gmt":"2025-03-14T15:45:02","slug":"volkswagen-cutting-id-4-production-just-as-us-sales-surging","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=81192","title":{"rendered":"Why is Volkswagen cutting ID.4 production just as US sales are surging?"},"content":{"rendered":"<figure class=\"img-border featured-image\">\n\t<img fetchpriority=\"high\" width=\"1400\" height=\"700\" src=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-EV-1.jpeg?quality=82&amp;strip=all&amp;w=1400\" class=\"skip-lazy wp-post-image\" alt=\"Volkswagen-ID.4-production\" srcset=\"https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-EV-1.jpeg?w=320&amp;quality=82&amp;strip=all&amp;ssl=1 320w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-EV-1.jpeg?w=640&amp;quality=82&amp;strip=all&amp;ssl=1 640w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-EV-1.jpeg?w=1024&amp;quality=82&amp;strip=all&amp;ssl=1 1024w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-EV-1.jpeg?w=1500&amp;quality=82&amp;strip=all&amp;ssl=1 1500w\" decoding=\"async\" fetchpriority=\"high\"\/><\/figure>\n<p>Volkswagen is slashing production in Chattanooga, Tennessee, where the <a href=\"https:\/\/electrek.co\/guides\/vw-id-4\/\">ID.4 electric SUV<\/a> is built. Although the ID.4 was the third top-selling EV in the US earlier this year behind Tesla\u2019s Model Y and Model 3, the move suggests it may not last long.<\/p>\n<p><span id=\"more-405887\"\/><\/p>\n<h2 class=\"wp-block-heading\" id=\"h-volkswagen-cuts-id-4-production-in-the-us\">Volkswagen cuts ID.4 production in the US<\/h2>\n<p>After sales fell by over 50% in the US last year after Volkswagen <a href=\"https:\/\/electrek.co\/2024\/09\/18\/volkswagen-halt-us-id-4-production-100k-vehicle-recall\/\">halted production<\/a> and deliveries, the electric SUV made an impressive comeback in 2025.<\/p>\n<p>The ID.4 was the <a href=\"https:\/\/electrek.co\/2025\/02\/24\/volkswagen-id-4-breaks-into-top-5-best-selling-evs-january\/\">third best-selling electric vehicle<\/a> in the US in January, trailing only the Tesla Model Y and Model 3.<\/p>\n<p>Volkswagen sold nearly 5,000 ID.4s in January alone, putting it on pace to sell about 60,000 by the end of 2025. A company spokesperson said (via <em><a href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/uaw-union-files-unfair-labor-practice-charges-against-volkswagen-2025-03-13\/\">Reuters<\/a><\/em>) that Volkswagen is reducing ID.4 production in Tennessee with plans to implement a two-shift schedule. The move comes as Volkswagen anticipates lower EV demand.<\/p>\n<p>\t<span class=\"outbrain-ad-label\">Advertisement &#8211; scroll for more content<\/span><\/p>\n<p>Although the company didn\u2019t directly say it, Trump\u2019s tariffs on imports from Mexico and Canada are likely to blame.<\/p>\n<p>Volkswagen said its vehicles made in North America are USMCA compliant, but it\u2019s still expected to see the most damaging blow of German brands from the new tariffs.<\/p>\n<figure class=\"wp-block-image aligncenter size-large\"><img decoding=\"async\" width=\"1400\" height=\"700\" src=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?quality=82&amp;strip=all&amp;w=1024\" alt=\"Volkswagen-ID.4-production\" class=\"wp-image-305660\" srcset=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg 1400w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=150,75 150w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=300,150 300w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=768,384 768w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=1024,512 1024w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=350,175 350w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=140,70 140w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2023\/06\/VW-1-million.jpeg?resize=290,145 290w\" sizes=\"(max-width: 1400px) 100vw, 1400px\"\/><figcaption class=\"wp-element-caption\">Volkswagen ID.4 production at Chattanooga, TN (Source: VW)<\/figcaption><\/figure>\n<p>Audi and Porsche are both primarily built in Europe, while Volkswagen brand vehicles in the US are likely imported from Mexico.<\/p>\n<p>The spokesperson added that VW is offering a \u201cvoluntary attrition program,\u201d which includes benefits like a severance package, retirement options, and more.<\/p>\n<figure class=\"wp-block-image aligncenter size-large\"><img loading=\"lazy\" loading=\"lazy\" decoding=\"async\" width=\"1400\" height=\"700\" src=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?quality=82&amp;strip=all&amp;w=1024\" alt=\"Volkswagen-ID.4-production\" class=\"wp-image-403089\" srcset=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg 1400w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=150,75 150w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=300,150 300w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=768,384 768w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=1024,512 1024w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=350,175 350w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=140,70 140w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/02\/Volkswagen-ID.4-best-selling-2.jpeg?resize=290,145 290w\" sizes=\"auto, (max-width: 1400px) 100vw, 1400px\"\/><figcaption class=\"wp-element-caption\">Volkswagen ID.4 (Source: Volkswagen)<\/figcaption><\/figure>\n<p>Volkswagen said in a statement, \u201cWe remain committed to our team members, our customers, and our presence in Chattanooga,\u201d adding, \u201cThis change supports that commitment.\u201d<\/p>\n<p>The decision comes after <span>last April\u2019s\u00a0<a href=\"https:\/\/uaw.org\/in-historic-breakthrough-volkswagen-workers-become-first-southern-autoworkers-to-win-their-union\/\" target=\"_blank\" rel=\"noopener\">historic decision,<\/a>\u00a0in which<\/span> VW workers at the plant became the first in the South outside of the Big Three to join the Union since 1940.<\/p>\n<p>On Wednesday, the UAW filed unfair practice charges against VW. In a statement, UAW president Shawn Fain,  said \u201cThe UAW has notified the Trump Administration of Volkswagen\u2019s unacceptable, anti-union, anti-worker, and anti-American conduct.\u201d<\/p>\n<h2 class=\"wp-block-heading\" id=\"h-electrek-s-take\">Electrek\u2019s Take<\/h2>\n<p>As we keep saying, Trump\u2019s tariffs do much more harm than good. Volkswagen is considering <a href=\"https:\/\/electrek.co\/2025\/01\/29\/volkswagen-build-porsche-evs-in-us-trump-tariffs\/\">moving Audi and Porsche production<\/a> to the US, but it only has until early April before the tariffs kick in.<\/p>\n<p>Nearly every automaker has warned that added tariffs on its biggest trade partners will put the US further behind China and other emerging tech leaders.<\/p>\n<p>Some automakers are already <a href=\"https:\/\/electrek.co\/2025\/03\/13\/another-luxury-automaker-tapping-into-chinas-ev-tech-goldmine\/\">turning to China for smart EV tech<\/a> (to sell globally), because it\u2019s cheaper and easier to scale. And this is just the start. Other countries, like Australia, are now <a href=\"https:\/\/www.washingtonpost.com\/world\/2025\/03\/04\/australia-chinese-electric-vehicles-byd\/\">opening up to Chinese-made EVs<\/a> and other tech. What\u2019s next?<\/p>\n<div class=\"ad-disclaimer-container\" readability=\"6.3518518518519\">\n<p class=\"disclaimer-affiliate\"><em>FTC: We use income earning auto affiliate links.<\/em> <a href=\"https:\/\/electrek.co\/about\/#affiliate\">More.<\/a><\/p>\n<p><!-- post ad --><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Volkswagen is slashing production in Chattanooga, Tennessee, where the ID.4 electric SUV is built. Although the ID.4 was the third top-selling EV in the US earlier this year behind Tesla\u2019s Model Y and Model 3, the move suggests it may not last long. Volkswagen cuts ID.4 production in the US After sales fell by over [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":8313,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[4],"tags":[],"class_list":["post-81192","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-e-cars"],"_links":{"self":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/81192","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=81192"}],"version-history":[{"count":0,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/81192\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/media\/8313"}],"wp:attachment":[{"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=81192"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=81192"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=81192"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}