Volkswagen Group of America (VWGoA) has officially opened a vehicle terminal facility at Port Freeport in Texas following an investment of $114m.

The carmaker said the facility will import and process up to 140,000 vehicles annually for the VW Group, including Audi, Bentley, Lamborghini, Porsche and the Volkswagen brand, supporting approximately 300 dealers in the central and western US. The facility has storage capacity for 15,000 vehicles. The carmaker has signed an initial 20-year lease on the terminal. 

VWGoA terminal Freeport

VW Group of America’s new vehicle terminal at Freeport on the US Gulf coast

The Freeport facility consolidates two smaller terminals in Houston and Midlothian, Texas. It means VWGoA now operates seven ports in the US (see box).

The carmaker said that Freeport has a wider access channel that can accommodate the larger LNG-powered vessels that VW charters for cross-Atlantic shipments with Siem Car Carriers as well as for short-sea services from Mexico.

Volkswagen Group of America vehicle terminals

Baltimore (MD); Benicia (CA); Davisville (RI); Jacksonville (FL); San Diego (CA); VW Assembly Plant, Chattanooga, (TN)

“Opening this new port facility in Freeport helps create a more resilient and more sustainable supply chain for many years to come,” said Anu Goel, executive vice president, Group After Sales & Services, VWGoA. “Additionally, Freeport’s easier access to rail and trucking will make our logistics operations more streamlined and efficient.”

VWGoA first announced plans for Freeport back in 2022 when it began working with real estate company PRP, along with property developer KDC on new facility. At this year’s Finished Vehicle Logistics North America conference in California, Anu Goel, executive vice-president, Group After Sales & Service, at Volkswagen Group talked about how Freeport fit in with the company’s overall strategy to solve bottlenecks in North American finished vehicle logistics as part of its virtual task force initiative.

VWGoA has partnered with Brazosport College in nearby Lake Jackson to create a new training programme with an emphasis on vehicle logistics operations. The company said that developing programmes in collaboration with local stakeholders will support future transport, storage and distribution job opportunities across Brazoria County and at Port Freeport.