Volkswagen to open new Tennessee parts distribution center

March 14, 2012—Volkswagen of America on Tuesday broke ground on a new $40 million, 400,000-square-foot parts distribution center in the Roane Regional Business and Technology Park in Kingston, Tenn.

Volkswagen’s Kingston facility, which will employ roughly 50 people, will begin as a redistribution center to service warehouses before expanding to include a parts distribution center, the company said. The parts distribution center will serve more than 100 dealers in the surrounding regions, as well as throughout the United States, Canada and Mexico.

The distribution center is expected to start distributing domestic auto parts by 2013, according to Volkswagen.

“We are thrilled Volkswagen landed in the Innovation Valley,” said Rhonda Rice, executive vice president of the Knoxville Chamber. “We’re sure they will be delighted by not only the transportation infrastructure of the area, but also by the workforce.”