January 25, 2013 / 10:01 AM / in 5 years

VW to expand production of best-selling Golf to Mexico in 2014

BERLIN, Jan 25 (Reuters) - German car maker Volkswagen will expand production of the Golf hatchback to Mexico next year to boost deliveries of its best-selling model in North America.

VW will start assembling the seventh-generation Golf in Puebla in 2014, a spokesman for the Wolfsburg-based company said on Friday. The Puebla plant already makes the Beetle, the Jetta compact sedan and the Golf estate.

Expanding production of its top seller to Mexico is part of VW’s plan to spend more than $5 billion over the next three years on its North American operations. It opened a $550 million engine factory in Silao, Mexico on Jan. 15.

VW also opened a $1 billion plant in Chattanooga, Tennessee, in 2011; its first U.S. production facility after closing a factory in Westmoreland County, Pennsylvania, in 1988.

The company currently makes the Golf at German plants in Wolfsburg and Zwickau, and in Changchun for Chinese customers.

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