More Magna Parts for VW Chattanooga

Parts supplier Magna and German carmaker Volkswagen seem to have forgotten last year's problems, caused by the former's bid for Opel, and announced a new supply agreement for the supplier park that Volkswagen is building at Chattanooga, Tennessee.

As part of the new agreement, Magna will supply Volkswagen with body and structural components, window regulators and decklid latches, fascias, sealing systems and complete seating systems.

"We are honored to be a supplier to Volkswagen on this program, supporting their Chattanooga operations," Jim Tobin, chief marketing officer for Magna International said in a release.

"We are confident our experience and strong track record in supporting new-vehicle launches will exceed expectations and help continue our well established global partnership with VW."

In addition to the supply agreement, Magna will locate two of its operations (Chattanooga Seating Systems and Magna Exteriors and Interiors) within the park. According to the supplier, this translates into the creation of some 140 jobs in the area.

Chattanooga Seating Systems is a joint venture between Magna Seating and Hollingsworth Logistics, formed as a means to supply seat systems for the mid-size sedan to be built here. The JV is 51 percent owned by Hollingsworth and 49 percent by Magna and will be minority supplier to Volkswagen.

Volkswagen's new plant in Chattanooga will officially open its doors in 2011 and will employ around 2,000 workers. The factory will be responsible for manufacturing a brand new model, especially designed for the North American market, with a production goal of 150,000 vehicles per year, with 30 percent of them to be powered by VW's TDI Clean Diesel Technology.
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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