Volkswagen's New Texas Port Facility Fuels Mutual Growth with Union Pacific

As Volkswagen (VW) celebrates the opening of its new vehicle processing center in Freeport, Texas, Union Pacific Railroad is poised for growth as the automaker's rail partner of choice. Union Pacific will help VW distribute imported vehicles to approximately 300 dealerships across the central and western U.S.

Spanning over 120 acres, the Port Freeport facility features 53 rail car spots and capacity to annually process up to 140,000 VW, Audi, Bentley, Porsche and Lamborghini vehicles. The site will mainly import vehicles from Europe and Mexico, where VW and Audi operate large assembly plants.

"This is a significant milestone for Union Pacific and Volkswagen as we continue our long-term partnership," said Union Pacific's Andrew Dziuda, director, Marketing and Sales. "I'm proud of the collaborative relationship we've built and look forward to our railroad playing a pivotal role in VW's growth journey."

The facility, located south of Houston along the Gulf Coast, is strategically positioned to provide easier access to rail, streamlining vehicle shipping logistics and supporting VW's goal to grow its U.S. market share.

"Union Pacific is a key partner in establishing this vital facility for VW and the community," said Anu Goel, VW Group of America's executive vice president of group after sales and services. "I want to thank Union Pacific for being part of VW's success as we drive economic growth and innovation in the automotive and transportation industries."

The $114 million facility will directly generate 110 new jobs for the Freeport community. To ensure a steady and skilled workforce, VW introduced a logistics and processing curriculum at a local community college.

Did you know? According to the American Association of Railroads, each year freight rail moves nearly 75% of the new cars and light trucks purchased in the U.S.