Volkswagen To Develop New Pick-Up Truck for South America With $580 Million Investment In Argentina

German automaker Volkswagen has announced that it is planning to develop a new mid-size pick-up truck for the South American market. Sharing this update the company revealed that it will invest $580 million in Argentina to facilitate the production of the new model. The company highlighted that this new pickup truck will replace the current Amarok pickup truck in the South American market. The production of this new pickup truck is scheduled to commence from 2027 at the VW Group’s Pacheco facility in Argentina.

The information shared by the company showers light on the company’s strategy for the South American market which states that the new model will be developed and produced specifically for local markets. The company will continue to produce the Amarok in South Africa to supply other international markets. The company stated that this approach will support a region-focused product strategy while maintaining supply to international markets.

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The Pacheco plant, which according to the company has manufactured over 7,70,000 units of the Amarok, will be updated to prepare for the new model. To facilitate the production of the new model the company is planning changes for new production methods, adjustments to digital processes and measures related to energy use. These updates are intended to align with the company’s long-term operational plans for the facility in the region.

The framework includes a three-part plan:

Advance: Adjustments to competitiveness and the product range.

Attack: Introduction of nine new models in Europe by 2027, including the ID. 2 all, planned to be priced below €25,000, and the ID. EVERY1, planned at approximately €20,000.

Achieve: Implementation of measures aimed at reaching a set of global business targets by 2030.

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Volkswagen has also stated that this new investment and introduction of the model are part of its ongoing regional and international operations planning.

Marcellus Puig, President and CEO of Volkswagen Argentina, “The Amarok has been a symbol of Volkswagen's strength in Argentina. It is a key element of the brand's history in the country, an essential part of our present, and will continue to be so in the future. This new model will combine Volkswagen's design and DNA — backed by 15 years of experience and more than 770,000 Amarok’s proudly produced at our Pacheco plant — with cutting-edge software and advanced technology, resulting in a disruptive and competitive product for the modern market”.