Auto parts manufacturer Magna International reports it has earned a series of new contracts from Volkswagen Group of America, to supply components and systems for a new mid-sized sedan that will be introduced in the 2011 model year. Aurora, Ont.-based Magna said four of its operating units are involved, and two of these will occupy space in the new supplier park Volkswagen is establishing adjacent to its Chattanooga assembly plant.
Magna designs and manufactures of automotive and light truck system and components worldwide.
According to Magna, it will supply VW with body and structural components through its Cosma International subsidiary; window regulators and decklid latches through Magna Closures; fascias, sealing systems, and B&C pillar trim covers through Magna Exteriors and Interiors; and complete seating systems through Chattanooga Seating.
The latter company is a new joint venture of Magna Seating and Hollingsworth Logistics. A seat assembly facility and a Magna Exteriors and Interiors fascia assembly facility will be located in a new supplier park that Volkswagen is developing in Chattanooga, adjacent to its assembly plant.
Volkswagen’s new midsize sedan will replace the VW Passat as its entry in mid-size car markets in China and North America, with options for a 2.0-liter diesel engine, a 2.5 5-cylinder gas engine, and a 3.6 VR6 liter gas engine.
The new assembly plant in Chattanooga is a $1-billion investment announced in July 2008 and due to open in 2011, producing 150,000 units annually.
"We are honored to be a supplier to Volkswagen on this program, supporting their Chattanooga operations," stated Jim Tobin, chief marketing officer, Magna International. "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."