Volkswagen picks JaxPort as Southeastern U.S. port

[thelakelander]

JaxPort is usurping the port of Brunswick, Ga., to become Volkswagen Group's main port in the Southeast.
Volkswagen Group has signed a five-year contract to begin importing Volkswagen, Audi and Bentley vehicles through JaxPort in May, Governor Rick Scott and other officials announced in a press conference on Wednesday.

The company plans to import 100,000 cars in the contract's first year and 550,000 over all five years. About half the cars will come from its plants in Mexico and the other half from Europe, company spokesman Carsten Krebs said in a phone interview.

It will also export Passats and, in a few years, a new brand of seven-passenger SUV. Both will come from its manufacturing plant in Chattanooga, Tenn.

As a result of Volkswagen's contract, 100 full-time jobs will come to the port, officials said. They were unable to describe what salaries and benefits they would have.

The vehicles will come into JaxPort "99 percent ready," Krebs said. Some accessories such as floor mats and safety kits will be added after they've been unloaded.

The economic impact of vehicle shipments on a region depends largely on whether they're constructed when they arrive, said Jean-Paul Rodrigue, a professor at Hofstra University who studies the logistics industry.

JaxPort beat out ports in Brunswick, Tampa and Cape Canaveral for Volkswagen's business, Krebs said.

Full article: http://jacksonville.com/business/2015-02-11/story/volkswagen-picks-jaxport-southeastern-us-port-importing-vws-audis-and

[I-10east]

Awesome news!!!

[tufsu1]

I am soon to be in the market for a new vehicle....VW & Audi were already on the list....but they just moved up a notch

[spuwho]

Look for more rail based car racks from the Chattanooga plant coming down to Jax to load up the exported Passats and the SUV, currently labeled Project "CrossBlue".



This article came out before the SUV decision was made, but describes the product in depth.

Per Nooga.com

Volkswagen leaders unveiled the concept for a midsized, hybrid SUV designed specifically for the North American market Monday at the North American International Auto Show in Detroit.
The six-seater vehicle is called CrossBlue.

—The concept is for the vehicle to be 196.3 inches long, 79.3 inches wide and 68.2 inches high.
—It has a wide front and rear tracks of 66.4 and 66.8 inches respectively, 21-inch aluminum-alloy wheels shod with 235/45 tires and significantly flared wheel arches.
—A team led by Marc Lichte (senior designer, Volkswagen Brand) designed the concept.
—It features a prominent, long hood that integrates the engine's air intakes, a roofline that is also long and a short frontal overhang.
—The CrossBlue has two "fuel doors," the filler neck for the diesel tank on the passenger side and two electrical sockets behind the door on the driver's side. The first socket is used to charge the lithium-ion battery, and the second can be used to connect electrical devices such as coolers or camping lights. In this case, the CrossBlue acts as an auxiliary electrical generator.
"The CrossBlue concept is exactly the right type of vehicle for the U.S. market," Jonathan Browning, president and CEO, Volkswagen Group of America, said in a prepared statement. "It combines a truly versatile interior layout with sophisticated Volkswagen design to give a unique and supremely stylish offering in this segment. Moreover, the vehicle showcases our innovative German powertrain engineering and the bandwidth of the new MQB architecture."

Leaders haven't said where the vehicle may be produced, but Chattanooga leaders attended the Detroit auto show to let VW officials know that they want it to be made in the Scenic City.

Volkswagen leaders have recently said that work at the Volkswagen site is no indication that another product will be made there soon.
But, last May, Volkswagen Chattanooga CEO Frank Fischer said he wants to see a midsized SUV made in Chattanooga, although he said he didn't know what the chances are that it will happen.

At that time, Don Jackson, former president of VW manufacturing, also said the plant has the flexibility to expand.
Ron Harr, president of the Chattanooga Area Chamber of Commerce, said he would love to see the new SUV made in Chattanooga and that there is room for more production here. He also said that the manufacture of another car would help draw in more auto suppliers.
All of that would mean more jobs for the area, he said.

The CrossBlue is a plug-in hybrid that combines a TDI clean diesel engine with two electric motors. It has a dual-clutch automatic transmission and an electric all-wheel drive system.
The vehicle can go from zero to 60 miles per hour in about 7.2 seconds.
It has both a manual and automatic zero emissions mode. Using its lithium-ion battery, the CrossBlue can travel 14 miles in all-electric mode.

It can go 661 miles if the 18.5-gallon tank is filled with ultra-low-sulfur diesel fuel.

The CrossBlue's default mode is as a classic hybrid, officials said.
The electric motor is used for propulsive power as often as possible, but the driver can also switch to "eco" or "sport" modes by pressing a button to the right of the shift lever.

The SUV has six individual seats in three rows and 12 airbags. If the vehicle goes to production, there is an option to make the second row have three seats, which would make it a full seven-seater vehicle.

* * * * * * *
There has also been talk of creating an domestic version of the Amarok, which is widely made and sold in South America and third world countries. VW has denied any US plans for this truck the size of a Chevy Colorado/Toyota Tacoma.





VW has been watching the inroads made by Toyota and Nissan in the US truck market and while Ford and Chevy dominate by far, they have been discussing possible designs.

[spuwho]

2016 Passat is going to come with some styling tweaks.

[CityLife]

That is pretty sweet. I drive a Passat and love it so far.

[I-10east]

Volkswagen gets nearly $18 million in incentives to come to Jaxport.

http://www.bizjournals.com/jacksonville/news/2015/02/19/volkswagen-gets-nearly-18-million-in-incentives-to.html

[spuwho]

Volkswagen gets nearly $18 million in incentives to come to Jaxport.

http://www.bizjournals.com/jacksonville/news/2015/02/19/volkswagen-gets-nearly-18-million-in-incentives-to.html

Ok, so I read the article. Can someone shed some light on what Jaxport benefit is if we are reimbursing or paying a per car fee on their behalf?

From the article


Because of the new work, Amports — which will process the vehicles — expects to hire about 100 people.

In the agreement, Jaxport agreed to:

    Reimburse Volkswagen up to $1 million for costs and expenses caused by relocating its operation from Brunswick, Georgia, to Jacksonville.
    Provide up to $3 million to Amports to build the infrastructure improvements Volkswagen needs to operate in Jacksonville.
    Pay Volkswagen $21.13 for each imported Audi, Bentley, Bugatti, Lamborghini and Volkswagen brand vehicle — up to a maximum of $12 million — processed through Jacksonville during the five-year term.
    Pay the company $3 for each of its vehicles imported or exported through Jacksonville, with no limit.

If Volkswagen brings in the number of vehicles it has pledged to, the total amount of incentives would be around $17.7 million.

[PeeJayEss]

And in 5 years Brunswick can lowball us. Great to see companies pitting cities against each other, and cities perfectly happy to cannibalize each other.