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Volkswagen is set to debut a new mid-size sedan in 2011, making it likely that the Passat sedan and wagon will be discontinued in the US , according to a source who spoke with autoweek.com. The new model will be made in a new factory in Chattanooga , Tennessee, that is expected to begin operations in 2011.

Despite its bigger size, the new model will be priced lower. However, in Europe , the Passat will continue to be sold. A new version will be released in 2011. In the US , the Passat is priced at $27,665 for the sedan and at $29,095 for the wagon version. The upcoming sedan will reportedly be offered at around $20,000. Prof. Dr. Jochem Heizmann, Member of the Board of Volkswagen AG with responsibility for ‘Group Production, said that the US is recognized to be one of the most vital markets for the VW Group.

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Vw Passat will be discontinued in the Unites States

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