Volkswagen AG's U.S. subsidiary earlier this week opened a $40 million distribution center in Roane County, Tenn., as the automaker continues to make inroads in the U.S. market.
The automaker said the facility will start out as a redistribution center that will service warehouses in the United States, Canada, Mexico and Germany.
The 459,000-square-foot facility also will distribute domestic auto parts to global markets for the Passat, which is produced at its Chattanooga, Tenn., plant.
"This new facility serves as tangible proof of the clear commitment that Volkswagen Group of America has to meeting the needs of our dealers and our growing customer base," said Anu Goel, vice president of parts and vehicle logistics for Volkswagen Group of America.
The facility has earned Leadership in Energy and Environmental Design (LEED) silver certification, according to the automaker.
"The building's eco-conscious features include superior insulation, water-efficient landscaping and sourcing regional materials in construction," Volkswagen said in a news release.
The Southeast Regional Distribution Center is Volkswagen's fifth facility in the United States to achieve LEED certification and the first among Volkswagen's warehouses, according to the automaker.
Volkswagen's other LEED-certified facilities in the United States are its U.S. headquarters in Herndon, Va.; its Chattanooga, Tenn., factory; its electronic research lab in Belmont, Calif.; and its test center in Oxnard, Calif.
Over the next three years, Volkswagen said it plans to spend more than $5 billion on new products, technologies and infrastructure in North America "aimed at helping the company reach its long-term goals for the region."