By on April 8, 2015

Volkswagen Chattanooga Tower

Volkswagen is launching an engineering center at its factory in Chattanooga, Tenn. to help improve the automaker’s fortunes in the United States.

Chattanooga Times Free Press reports hiring for the facility has begun, with the aim of bringing aboard 130 engineers and technicians — some of whom coming straight out of local and out-of-state universities — by 2017, with 70 more to be hired later on.

Speaking of 2017, Volkswagen also hopes to have a new building near the factory for the engineering center, which will be housed in a vacant building on the factory grounds in the meantime. Though building costs and size haven’t been determined, VW Group of America executive vice president Dr. Matthias Erb says the new center “could have its own vehicle test track and crash facility.”

Erb adds the Chattanooga center will also be the hub of coordination for all of the automaker’s R&D, design and engineering units in the U.S. and Mexico — currently handled in Michigan and Ohio — as well as help Volkswagen better serve consumers’ needs and bring new products to market sooner for the North American market.

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50 Comments on “Volkswagen Opening Engineering Center In Chattanooga...”


  • avatar
    HerrKaLeun

    “coordination for all of the automaker’s R&D, design and engineering units in the U.S. ”

    all they need to do is:
    – build cars that are cheap to maintain and repair. People in the US are used to pay $100 a year on a corolla for maintenance and even if it doesn’t get maintained, it still will work.. They get a heart attack when they pay that for just a VW oil change, and $1K for timing belt, and all the unscheduled repairs that cost as much as a BMW. and build cars so they can survive skipping one oil change….
    – build the types of cars people here want at prices that are competitive. If you want to sell based on “German”, don’t de-content and use solid solid axles etc. Maintenance expenses of a BMW and driving experience of an oxcart doesn’t sell well.
    – streamline your drivetrains. People don’t need 10 engine choices, especially if 9 of them suck. Learn from Honda… offer one or two engines, but have them be very good. don’t charge for every color.

    I realize the new MQB resolves some of the issues. But this may be too little too late.

    • 0 avatar
      cammark

      All that your suggesting, and I don’t disagree, is going to require some close engineering support and input from individuals within said market. It sounds like that’s what they’re trying to set up.

      • 0 avatar
        HerrKaLeun

        well, designing cars to be easy to maintain and reliable would require a whole-company attitude change. That local design center won’t design motors or better coil packs, nor will they have the power to make product decisions.

        If Piech wants a Phaeton with W12 motor, all resources get pulled away from CUV, Golf etc. development. Even if the only Phaeton even in Germany all have a WOB Wolfsburg license plate. And that is the problem, major decisions are not made based on engineering, markets etc. they are made based on what one or two people want. And if Americans don’t buy VW, they are just too stupid to realize the German superiority.

        If VW wouldn’t have Audi/Porsche in the US and the backing of a successful (in Europe and China) VW, they would have pulled a Suzuki a long time ago.

        From all I heard MQB cars are more reliable (although we don’t know long term) and they should be easier to build a variety of cars. However, all other OEM also will progress.

    • 0 avatar
      Volt 230

      Your suggestion, as valid and correct as it is, is more of a pipe dream than a feasible task, it would take an all out assault from ALL VW to achieve this and that can only happen if it starts from the very top and then work its way down to the suppliers, assemblers, dealerships, etc.

    • 0 avatar
      30-mile fetch

      I can’t disagree with your repair cost/maintenance argument, but the rest of it is incongruous. You seem to be arguing from both the perspective of enthusiast (no solid axle, make it fun to drive and feel expensive, very good engine) and appliance shopper (simple engine choices, keep it cheap). Sales numbers suggest driving fun is a very low priority for most car buyers, so your enthusiast criteria aren’t going to rescue sales. Putting IRS, Audi-competitive interior materials, and other content to please enthusiasts is expensive and doesn’t work with your keep it cheap suggestion.

      I don’t understand the engine choice and oxcart arguments. There are three volume engines here, the TDI, 1.8T and 2.0T, and they perform well. Even with the beam rear axle the Jetta didn’t drive like anything like an oxcart and was more enjoyable than the biggest sellers in the segment.

      With advice like this, it’s no wonder VW has a hard time cracking our market.

      • 0 avatar
        HerrKaLeun

        having independent suspension is not an enthusiast issue. Sorry if I didn’t clarify…. i didn’t mean high-speed cornering. Almost every car has that now…. . what I meant and want is a car that drives well above (deteriorating) US streets and doesn’t’ wear out on said streets.

        On interior, just make it nice. i had a Mazda 3 and that is my standard for interior. in 2007 i was car-shopping ans sat in a Golf. i had to throw up over the dashboard. i know in Germany VW has “nice” interior. nice doesn’t to be expensive.

        I’m not asking for the world, just make it as nice to drive and as nice as my CRV, which is not an enthusiast car.

        I’m not sure if you mean engine performance in terms of power. but when it comes to reliability and maintenance, not they are not good.

        And you forgot or neglected to mention the 115 hp 2.slow engine that still is offered. I just looked at their website, the Jetta is offered with 5 drive trains if you include the hybrid (I’m afraid of a complex VW…). cut it down to three including the hybrid. If a consumer can’t make up his mind among 3 options, 5 won’t help especially if logistics prevent them all from being available in all colors etc.
        Why a 170 hp and 210 hp option? Make one at 180 hp and call it a day. No one can use full 210 hp on a FWD car anyway. At least till they sell more than 5 a month. No enthusiast buys a Jetta. Everyone else won’t be able to tell a difference.

        • 0 avatar
          30-mile fetch

          I’m still not following your logic, HerrKaLeun, I’m sorry. Outside of the obvious reliability criteria, your suggestions speak far more to your personal preference than guaranteed market success.

        • 0 avatar
          danio3834

          The lower end VeeDubs use a semi-independent twist beam rear suspension, just like the Corolla uses. It’s inexpensive and works for the intended purpose. It can be made to work well enough for performance purposes. The Cobalt SS/TC used that setup and could embarass an Audi S5 around the ‘ring.

        • 0 avatar
          Luke42

          @HerrKaLeun

          I agree completely about the company wide attitude change. When I see evidence of that, I’ll forgive Volkswagen for my 2001 Jetta GLS TDI and seriously consider buying another VW.

          There was a lot to like about the VW I owned, but it was neither reliable nor maintainable after the warranty, which is the “you must be this tall to ride on my wallet” measurement.

          • 0 avatar
            Whatnext

            So your basing you assessment of VW now on an experience with a 14 year old car? Would you base an assessment of today’s KIA on a Sephia experience?

          • 0 avatar
            bball40dtw

            Whatnext-

            His point is that VW has not changed their attitude and philosophy as company. The VW of 14 years ago and the VW of today is the same to him. Piech has basically been in charge for over two decades.

            By contrast, the Kia of 2001 is not the same Kia as today.

    • 0 avatar
      heavy handle

      HerrKaLeun,

      The market already offers cars for people who think oil changes are too expensive. No sane car maker would fight for those customers unless they have no other choice, it’s a race to the bottom. Trying to satisfy the bottom 5% of customers only leads to driving away the other 95% that can actually afford a car.

      Twist beam axles are not the same thing as solid axles (Hotchkiss drive). You are confusing ride quality, which has to do with spring rates, resonant frequencies, sidewall depth, with 100% accurate wheel positioning, which almost never matters to anyone driving on public roads.
      The reason why solid axles aren’t great is that they are 200 lbs hunks of iron added to unsprung weight. That’s not the case with twist-beam axles.

      • 0 avatar
        HerrKaLeun

        Heavy: their name implies what their market position should be. But they tried premium and failed, then they tried substandard and after initial success also failed.
        They should compete with Toyonda. But what they aimed for was BMW and now Suzuki/Mitsu. Pendulum swang too far. Hope MQB cars will be in the middle.

        • 0 avatar
          heavy handle

          I thought Audi was VW’s BMW competitor. I know VW’s offered a few expensive rides in the US (Touareg, Passat W8, Phaeton), but the problem with those is that they were low-volume exceptions. I’m not sure how they specifically compete with Mitsubishi but, as the small print says “your dealer may sell for less.”

    • 0 avatar
      Numbers_Matching

      ‘People don’t need 10 engine choices, especially if 9 of them suck. Learn from Honda…’
      – Hogwash.
      VW’s current engine line-up represents some of the best in class choices available in the American market. There is very little to no dead space and a very linear throttle calibration – unlike your typical Honda or Toyota (aggressive tip-in, then a sea of nothingness, and then bang, almost useless top end).

      • 0 avatar
        Luke42

        @Numbers_Matching:

        Some of those really do choices suck. For instance, I owned a 2001 Jetta TDI with a ZF 01M automatic transmission.

        If I’d been authoritatively able to determine beforehand that this particular combination was likely to kerplode every 50,000 miles, I might have chosen an engine/transmission combination that didn’t suck. But, I couldn’t establish that other variants were any better than the combination I wanted, so I bought the one I wanted.

        Since I can’t determine which VW variants are likely to kerplode every 5th oil change, I’ve avoided VW products completely and will continue to do so until I saw evidence that the company had decided to make cars suitable for daily transportation.

        I’ve been watching VW for almost a decade, and haven’t seen any evidence of changing their priorities to include reliability and maintainability as an attribute in their vehicles. I hope they do change, because I like their products, otherwise, and would love to own another one — once they’re up to the demands of the American duty cycle.

      • 0 avatar
        HerrKaLeun

        Numbers: 2.slow is what you consider the best?

        • 0 avatar
          30-mile fetch

          Oh, get off of it. The 2.slow afflicts only the base Jetta trim and serves as a way to advertise low lease rates and MSRP. This argument isn’t holding much water and as others have pointed out your solid rear axle claim is full of holes as well.

          Stick to the reliability and Phaeton arguments, those actually work.

          • 0 avatar
            HerrKaLeun

            Not sure if you have industrial experience… Honda sells 300k CRV with a single engine and transmission. All of them flawless mostly. VW sells maybe 30K or so Jettas with 5 engines and maybe 2 or even 3 transmission choices (not for all engines). Makes about 10 drivetrain choices.

            So who do you think is more profitable, has logistics advantage and can focus resources and technician training etc. the best?

            VW has a goal of selling 800k cars (probably including Audi). how would they do that if not going mainstream?

            The 2.slow stays in the argument as long as it is being offered. I realize this is a bait/switch engine, but that makes it even worse.

            Reliability has something to do with their wide choice of drivetrains. They never can focus to make one really good drivetrain when they need to develop and produce dozens of engines and transmissions worldwide just to be able to offer cars in 5-hp increments.

          • 0 avatar
            30-mile fetch

            HerrKaLeun,
            You are talking out your anal orifice. Tenaciously. The Jetta isn’t a CRV competitor. The Jetta sold 160K last year, not 30K. The CRV’s success isn’t because it is sold in CVT+4-pot only. No one walks away from a car because it offers other drivetrain options in addition to the one they want. VW is a far bigger player worldwide than Honda (and I frankly couldn’t care less, I don’t buy based on sales numbers), so your complaint about the wide selection of engines worldwide is meaningless.

            You don’t even seem to understand the basics of rear suspensions yet believe they are one of the reasons the brand is flagging here. Everyone knows they need a CUV, everyone knows they could use a long-term reliability reputation. You started out with “all they (VW) need to do is…”. Yeah, right. Send them your resume, I’m sure they’ll take you on and you can lead the VW Group to their 800K annual goal.

  • avatar
    VW16v

    VW is in a North American slump. But, they will eventually catch up and put a dent in some of the other automakers sales. A couple newer SUV’s are needed.

    • 0 avatar
      sportyaccordy

      I don’t know man. VW is indeed in a slump, but it seems to be caused by internal cultural problems they don’t seem keen on fixing. It’s 2015 and they still don’t have a cheap midsize SUV, nor does it seem like they are serious about building one. We will see another Phaeton before we see a midsize SUV and that is all VW’s executive culture.

      • 0 avatar
        VW16v

        I think VW is booming all around the world except for North America. If the Touareg was $20k cheaper VW would not be in that slump. Poor leadership decisions in the past few years regarding the NA direction.

        • 0 avatar
          bball40dtw

          They would still be in that slump. They are getting hammered in the three car/cuv segments that matter the most: compact CUV, midsized CUV, and midsized sedan. The combined Jetta/Golf sales are okay, but they are still at least 10K sales YTD behind the major players in the compact car segment (Focus, Elantra, Civic, Cruze, Corolla).

  • avatar
    jrmason

    I’d drive a VW over a Corolla any day. In fact Ive owned them throughout the years and not only have they been some of the most reliable vehicles we’ve owned (and we avg 25-30k miles a year), they’ve also returned the greatest fuel mileage. Our current TDI is still on the original front end, clutch, and exhaust at 150k miles. It gets driven all winter and is spotless top and bottom. All other VWs have returned similar results. Oil changes for full synthetic run right at $50 per 10k miles. That’s 25%-50% more miles than most other vehicles recommend. We go 15k per oil analysis once the engines are out of warranty and all our engines have had excellent reports. The ONLY complaint I have is the timing belt. Diesels can and should be engineered without the use of a timing belt (all medium and heavy duty engines do) and it irks me they are still built with a failure prone part on an interference engine. However, the smallest bit of mechanical aptitude allows this to be a DIY job. I can do one in about 3-4 hours time taking my time and this includes cleaning the manifold. Kits are available using OEM parts with everything needed, timing and serpentine belt, water pump, all idlers, rollers, tensioners,torque to yield bolts, o rings, gaskets, and even 1.5 liters of VW long life coolant for $350. All in all its not that bad considering people will take their car in for say a starter or alternator replacement and pay that much.

    I get a kick out of all the people here that want to change VW. If I wanted a Civic or a Corolla or Camry I’d buy one. I dont. Quite honestly they’re ugly cars with no character. They get you from A to B quite well, but then again so does every other vehicle on the market. If your the kind of guy or gal that can’t even get under your car to do an oil change or do basic maintenance than a VW probably isn’t for you. Ive done all maintenance and repairs on every VW we’ve owned as well as in the family and although they are a bit different there is nothing complex about them. I like them just the way they are.

    • 0 avatar
      sportyaccordy

      Why so defensive? Lol. VWs are not that great, and this is coming from a guy who chose a Rabbit for his wife as a DD. Compared to my non-Si Civic, the Rabbit is quieter (as it should be, weighing ~300lb more), more refined (as it should be, having cost more new), and more practical. But dynamically, where the Germans are supposed to reign supreme, the Civic runs laps around it. And they both have about the same number of miles so I don’t think it’s a matter of age. Where VW excels is in the choices it gives. The Golf/Rabbit are by far the most practical hatches in the segment. Literally nobody else in the segment makes a legit wagon or offers a diesel. But on a straight up comparative basis, i.e. Jetta gas sedan vs the competition, VW is generally middle of the pack or worse. The weird maintenance (VW only oil you can’t get everywhere, Torx screws, screwy oil filter configuration- see, you’re not the only one who can “get under the hood”) alone is a huge turn off and doesn’t even yield a superior driving experience.

      VW needs to get back to its strengths and fix its weaknesses. There are plenty of people willing to pay a premium for a slightly more upscale driving experience. At the same time though the market wants what it wants, which means less Phaeton and more competitively priced and sized CUV. As long as VW buries its head in the sands of the beaches of its pride (and has zealots like you to defend said haughtiness) they will continue to slide.

      • 0 avatar
        jrmason

        If your asking me why I’m so defensive, I’m not at all. Its simply unrealistic for any manufacture to adhere to all the personal requests everybody likes to make on here. Yes they are lacking a few models that Americans tend to want but on a global scale they tend to build what sells and it obviously works well for them. I’d love to see an AWD wagon TDI over an SUV or crossover, but I’m not butthurt or throwing them under the bus because one isn’t available here.

        And to Hummers question, I imagine exhausts have had some degree of stainless in them since the 90s, but here in the rust capital its not uncommon for a vehicle to need a new exhaust by the time its 6-8 years old. Our 08 garage kept, annually undercoated and routinely washed Mountaineer is a perfect example.

    • 0 avatar
      Hummer

      Hasn’t all exhaust piping been stainless since at latest the 90s?

      • 0 avatar
        danio3834

        “Hasn’t all exhaust piping been stainless since at latest the 90s?”

        Ha, I wish.

        • 0 avatar
          Hummer

          I see, I can’t say I’ve seen an exhaust system with anything more than light rashes (usually from where welding destroyed the stainless properties) in a very long time. We don’t get Ohio amounts of salt in NC, but we get a pretty decent amount, coupled with our humidity, I’m surprised how well all these vehicles hold up.

    • 0 avatar
      Luke42

      I owned a VW. Now I own Toyotas, which are far easier to own and maintain over the long haul.

      I liked my VW a lot, but I just don’t want one bad enough to put up with VW problems to get VW benefits.

      If VW would engineer the problems away the same way their competition has, then I’d probably want one enough to own one again.

  • avatar
    wmba

    Cosmetics.

    Out of the 130 green new hires with virtually zero experience, about 100 will no doubt finesse door hinge design to suit the US and Mexican production system, and perform other trifling matters with respect to suppliers.

    The remaining 20 will crash cars to develop additional metal struts so as to pass IIHS tests, and to finalize shock-absorber settings. The Passat for a start could do with a $59.95 set of Monroe load-levelers to even out the super-squishy ride.

    130 people is a drop in the bucket if you expect them to develop vehicles from scratch. That simply won’t happen.

    You need to be a Herr Doktor Professor Dipl Ing to design serious stuff! And what mere American university hands out qualifications like that?

    Approved by: Ferdinand K Piech, Emperor in Charge, Volkswagen AG

  • avatar
    dcars

    VW should understand that North Americans drive on average 12000 miles per year unlike thier European friends that drive less than half that mileage. VW cars wear out faster in the US and cost considerable more than most other cars sold here.

    • 0 avatar
      heavy handle

      Is that a fact? I’ve known lots of very high mileage VWs over the years. If anything they wear better than your typical Toyota with collapsed seat foam, delaminated steering wheel, push-on-a-string steering, and chipped/faded paint.

      • 0 avatar
        LectroByte

        Aside from seeing one or two VW’s that lasted a long time, do you have some data? Seems like I remember seeing Polk statistics that showed Honda wins the mainstream durability contest with something like 75% of their cars built since 1988 still on the road.

        • 0 avatar
          dantes_inferno

          > Seems like I remember seeing Polk statistics that showed Honda wins the mainstream durability contest with something like 75% of their cars built since 1988 still on the road

          Statistics are for those who have little or no hands-on experience with automobiles.

          As someone who’s turned a wrench on everything from a lawnmower to a C-5 Galaxy aircraft, I’ve had several VWs, three with over 300,000 miles, two with over 400,000 miles, and one with over 600,000 miles. All purchased at or near the end of the production cycle (after all the bugs have been worked out) – I refuse to become a beta tester for the automobile industry for the sake of being “fashionable” or being the first on the block to have the latest and greatest iteration of a vehicle.

          Bottom line – if you maintain a German car like a Japanese vehicle, it will wind up in an early grave. If you maintain a German car like a German vehicle – you’ll be surprised how long they last.

          I’ll take that over the 75% of the rust-prone recycled-steel Hondas, Toyotas, Nissans, etc. on the road today.

          • 0 avatar
            krayzie

            Maintain a German car like a German vehicle like changing a cam follower on the high pressure fuel pump and walnut blast the carbon build-up on the intake valves every 60k? No thanks I’ll take the Japanese rust bucket instead.

          • 0 avatar
            28-Cars-Later

            Why don’t the Japanese OEMs just buy German platforms and bodies and add their drivetrains? Win-win.

          • 0 avatar
            LectroByte

            > I’ll take that over the 75% of the rust-prone recycled-steel Hondas, Toyotas, Nissans, etc. on the road today.

            Why so much hate for Toyota and Honda? VW has had many shots at the American market, and never seemed to crack it after their success in the 1960’s. You can’t blame Honda and Toyota for that.

            > If you maintain a German car like a German vehicle – you’ll be surprised how long they last.

            I’m happy that you are happy with them, but your comments help explain VW market share. No doubt if you maintain them like a “German Car”, whatever that means, then they will last a long time. Or will they? What kind of maintenance is there on sensors and wiring harnesses?

            Seems like all the former and current VW owners I know, myself included, it’s a one-shot deal after a few years of expensive bizarre problems and dealer indifference, swear to never buy another one.

        • 0 avatar
          heavy handle

          Polk must not count any cars north of Arizona. Around here it’s rare to see a Honda over 12 years old, never mind 25.

          There are entire generations of Hondas built after 1988 that you just never see anymore, same with Toyotas.

          For instance, when was the last time you saw a FWD Celica (pudgy generation)? They used to be everywhere, now they are all gone. Remember the first-gen Rav-4? Have you seen more than one in the last 10 years?

          People will swear up and down that those cars were built to last, but they have all been junked. Or all the ones outside of California, Arizona and New Mexico have been junked.

          • 0 avatar
            jrmason

            “Polk must not count any cars north of Arizona. Around here it’s rare to see a Honda over 12 years old, never mind 25.”

            Funny you mention that, a co worker just drove his 02 Camry with 140k miles to the junkyard. Body was ragged out and had so many holes in the floor boards the carpets were molding and stunk to no end.

            Oh, but it did still run though.

        • 0 avatar
          30-mile fetch

          “Aside from seeing one or two VW’s that lasted a long time, do you have some data? Seems like I remember seeing Polk statistics that showed Honda wins the mainstream durability contest with something like 75% of their cars built since 1988 still on the road.”

          VW reliability has reportedly improved over the last decade, by leaps and bounds for some models & drivetrains. It will be some time before true long-term durability can be assessed because the cars aren’t that old yet.

  • avatar

    Let me tell you why this is a non-story. After being in the bowels of *the* major German Tier 1 and a customer of essentially the other one… Exactly ZERO major design decisions are made outside of Germany / Austria.

    This “Engineering Center” will be nothing more than plant support for pilot builds and other front line, “Fire Fights”. Its basically a local buffer to protect that 40 (+/- 0) hour work week back home.

    • 0 avatar
      highdesertcat

      Mike, I think you are right and there is precedence for what you wrote. When Nissan, Toyota and Honda opened their design centers in the US decades ago, they were nothing but styling centers. All the design decisions were still made in Japan. All the engineering decisions were still made in Japan.

      Remember the uniquely American Avalon? The only thing designed in America was the body styling. The guts were all-Camry.

      • 0 avatar

        That’s a really good point about the Japanese OEMs… Funny timing for two reasons:

        I just got back from a trip to Japan to meet with one of our customers. Even though the “Home Room” for the program is the US, any deviations to the requirements have to be presented and approved back in the old country.

        I heard a Toyota commercial during the Tiger’s broadcast highlighting the Tundra / Tacoma development being performed in Ann Arbor… I think full size trucks might be the only exception to this rule..

        • 0 avatar
          highdesertcat

          Mike, I own a 2011 Tundra 5.7 SR5 and my impression is that the body panels may have been designed in the US, incorporating all the best features of US trucks at that time, but that everything chassis-wise is Hino, suspension, brakes, differential, bearings, etc, with the 5.7L V8 basically a Chevy 350 engine block cast in aluminum, with aluminum 32-valve DOHC heads from the Lexus LS460.

          That is not very complimentary to Toyota R&D but IMO dang near the truth, the whole truth and nothing but the truth.

          Toyota rarely does anything that deviates from what’s already in their vast and numerous parts bins.

          I expect the new 2016 Tacoma to be more of the same, designed specifically to outdo the new GM midsizers so the Tacoma will remain the best-selling midsize truck in the US market.

  • avatar
    gasser

    Volkswagen: “Experience Confederate engineering”

  • avatar
    Cabriolet

    Boy do we have some VW hate today. Always the same line. Toyota and Honda’s run for millions of miles with no oil changes or parts replaced. No one mentions the recalls ruined engines, bad transmissions and i could go on. A car is made up of many parts and some parts fail. If a car is taken care of it will last a long time. If you just forget about servicing the car it will only go so far. I have owned many cars from Toyota to VW and to my way of thinking i like the VW best. If you want to drive a Toyota or Honda that is fine with me. As to HerrKelevn’s BS about not being able to get the proper oil for a VW oil change. Walmart (that’s right) sells Mobil 1 motor oil both in 1 Qt & 5 Qt containers with the large container going for $25.00. I wish people would check their facts before posting. In my area they use a lot of salt on the roads and a 10 year old Japanese car will have quite a bit of rust but the European & American cars seem to hold up better.

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