VW Plans to Export U.S.-Made SUV to Russia

Volkswagen AG plans to ship an unspecified number of its new American-made Atlas large crossover to Russia beginning late last year, a source tells Automotive News Europe.

The Russian model will be powered by a 2.0-liter diesel, according to the source, who says the diesel iteration is not likely to be offered in western Europe. VW confirms only that it is “considering” the Russian market, whose volume has plummeted 42% in the past three years. Sales are down another 14% so far this year, according to the Moscow-based Assn. of European Businesses.

VW will launch production of the Atlas—the brand’s largest SUV ever—at its plant in Chattanooga, Tenn., at about the end of this year. The seven-seat vehicle will go on sale in the U.S. next spring. American versions will be equipped with a 2.0-liter or 3.6-liter gasoline engine. VW also plans to assemble a localized iteration called the Teramont in China.