Volkswagen will stop production of the ID.4 in Chattanooga, Tennessee as early as April 2026. The discontinuation of the model will be completed by the end of the month, after which sales will continue using existing inventory. According to internal estimates, these cars will be sufficient for 12–18 months, i.e. until around mid- to late 2027.
The ID.4 was a key model for Volkswagen in the US from the moment local production began in 2022. However, by 2025–2026 demand started to decline. One of the reasons was a reduction in federal subsidies to $7,500, which effectively increased the price for buyers. As a result, the cost of base trims exceeded $38,000–$40,000, making the model less competitive.
The company will redistribute resources in favor of more stable segments. The main focus will shift to the next-generation Volkswagen Atlas, expected in 2027. This large SUV, with gasoline and possibly hybrid versions, is aimed at the US market, where such vehicles account for more than 50% of sales.
At the same time, Volkswagen is not abandoning EVs. A new generation of the ID.4 is already in development and could appear closer to 2028. An increased range of up to 500–600 km on the EPA cycle and a price reduction due to a new platform are expected.
Additionally, the launch of a pickup truck is being considered. The full-size and mid-size pickup segment in the US exceeds several million units per year, and even a small market share could generate significant returns.