Volkswagen will end production of the all-electric ID.4 SUV at its Chattanooga, Tennessee, plant in mid-April 2026. The automaker cited a challenging and unpredictable U.S. electric vehicle market for the strategic shift.

The company is pivoting to focus on higher-volume, gasoline-powered vehicles to support sustained growth in North America. Production capacity at the Chattanooga facility will be reallocated to the redesigned 2027 Atlas SUV.

While Volkswagen plans a future version of the ID.4 for the North American market, it has not confirmed a release timeline or production site. Existing inventory of U.S.-made ID.4 models is expected to last into 2027.