- Production of the ID.4 is paused after recalling 98,606 vehicles for door handle faults.
- About 200 employees will be furloughed, with each receiving 80% of their base pay.
- VW has not provided a timeline for when a solution to the issues will arrive.
Volkswagen will pause production of the all-electric ID.4 at its plant in Chattanooga, Tennessee, from September 23 as it looks to fix an ongoing issue impacting tens of thousands of vehicles.
Since as early as April 2023, VW has been battling with door handles that are prone to water ingress and can open without any input. The brand has issued three recalls for the ID.4 to try and resolve the fault but it has still yet to develop a comprehensive fix. This, combined with an ongoing stop-sale of the car, means it no longer makes sense to keep building the electric crossover.
Read: VW Recalls ID.4 For The Third Time As Rogue Doors Keep Opening Themselves
VW has confirmed it will pause production of the ID.4 until it has a solution. It hasn’t said how long the period of downtime will be but says it is furloughing approximately 200 employees at the site.
“While we address the issue, we are focused on doing right by our employees, dealers and consumers through this disruption,” the carmaker confirmed. “Approximately 200 employees in Chattanooga will be furloughed beginning Sept. 23 and we are supporting them by supplementing unemployment from the state of Tennessee so they will still receive 80 percent of their base compensation and will continue to be covered by all current benefits during this time.”
Carscoops has reached out to VW for comment on the production halt and will update this article when we hear back. VW has added it is “exploring ways to support” dealers as work on the remedy continues.
The ID.4 was most recently recalled for the door handle issue earlier this month. This latest recall involves 98,606 ID.4s. VW has received 135 warranty claims between June 2023 and May 2024 related to the water ingress issue.
US sales have the ID.4 have dropped significantly this year, in part due to the stop-sale. In the second quarter, VW sold just 5,690 ID.4s, a 15% drop compared to Q2 2023 and the second consecutive quarter of year-over-year decline.