Volkswagen seat supplier announces expansion, 190 new jobs

The Volkswagen supplier is a joint venture between Magna Seating and Hollingsworth Logistics. CEO Stephen Barr cited the company's close work with state and local officials. (Photo: Pixabay / MGN)

Chattanooga Seating Systems says an expansion at its facility Volkswagen's Tennessee plant will create 190 jobs.

The Volkswagen supplier is a joint venture between Magna Seating and Hollingsworth Logistics. CEO Stephen Barr cited the company's close work with state and local officials.

The $5.4 million investment will include updates to the current facility and expansion into an unoccupied building nearby.

Gov. Bill Haslam said the expansion speaks in favor of Tennessee's business climate and the state's efforts to become a leader in the automotive sector.

Volkswagen is in the process of preparing the Chattanooga plant to make a new SUV later this year. The plant has only made the midsized Passat sedan since it opened in 2011.

From a Hamilton County news release:

"Tennessee Gov. Bill Haslam and Economic and Community Development Commissioner Randy Boyd announced today that Chattanooga Seating Systems will expand its existing Chattanooga facility. The automotive seat manufacturer will invest $5.4 million and create 190 jobs in Hamilton County.

“When companies like Chattanooga Seating choose to expand their existing businesses here, it speaks to our business-friendly climate and continues to establish Tennessee as a worldwide leader in the automotive sector,” Haslam said. “We thank Chattanooga Seating for its investment and for bringing us one step closer toward our goal of making Tennessee the No. 1 location in the Southeast for high quality jobs.”

“Tennessee employs more in the automotive sector than any other state in the Southeast and it is welcomed news that Chattanooga Seating will be adding more employees to this sector and to our strong workforce,” Boyd said. “I want to thank Chattanooga Seating for choosing to expand in Hamilton County, and we are honored to have them as a part of Team Tennessee.”

Chattanooga Seating Systems, a joint venture of Magna Seating and Hollingsworth Logistics, manufactures and supplies seats for vehicles assembled at Volkswagen Chattanooga.

“On this expansion project we have been fortunate to work with many talented and committed people at the state and local level who understand our business and help achieve common goals,” Hollingsworth Logistics CEO Stephen Barr said. “We are pleased to be able to bring additional jobs and investment to the Chattanooga community, and we look forward to continued success in the service of our customer, Volkswagen.”

Chattanooga Seating will expand its current facility in Chattanooga. With this expansion, the company will be updating the facility to make room for new equipment. Chattanooga Seating will also be adding additional space to the facility by utilizing an unoccupied building near its current facility.

Local leaders expressed gratitude to Chattanooga Seating for choosing to expand in Hamilton County.

"As one of the first tier one VW suppliers to locate here, Chattanooga Seating has had a positive impact on our area," Chattanooga Mayor Andy Berke said. "With this expansion, they will more than double their workforce over the next five years and create good, middle-class jobs for more Chattanoogans.”

“We’re glad to see growth for a valuable member of our business community, and an important supplier for VW,” Hamilton County Mayor Jim Coppinger added."
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