Paul Lienert

(Reuters] -Volkswagen AG intends to invest at minimum $7.1 billion in North America within the next five year and add 25 more electric vehicles by 2030.

This model is called ID.Buzz and it forms the core of the plans. Scott Keogh is the president and CEO of Volkswagen Group of America.

At a Monday media briefing, Keogh stated that the U.S. has a high demand for ID.Buzz. According to Keogh, there may be an option for North American production of the vehicle.

VW’s North American Investment Plan is part of an overall five-year global plan that was announced December. It earmarks $98 Billion for “e-mobility hybridization and digitization,” which includes the construction of batteries plants as well as partnerships with suppliers.

Keogh explained that this figure for North America does not include a $1.8billion or more provision to produce additional batteries in the region. According to Keogh, VW will establish cell production dedicated to its electric vehicle rollout plans in the region.

Keogh stated that the German automaker plans to make at least half of all its U.S. sales fully electric by 2030. This compares to a target of 70% for electric cars in Europe by 2030.

VW North America plans to begin phase-out of gasoline-powered VW models. This will allow VW to exit sales of its combustion-engine vehicles in the early part of the next decade.

VW is preparing for fall launches by starting pilot production of the ID.4 hybrid crossover at Chattanooga’s Chattanooga facility in Tennessee. In Mexico, Puebla and Silao are being upgraded to start building electric vehicles and motors in mid-decade.

Keogh indicated that VW will add four new electric SUVs into its U.S. range starting in 2026. These would serve the same market segments as those currently served by gasoline-powered models like Atlas, Tiguan, Taos and Atlas (NYSE;).