More than two decades after Volkswagen's first U.S. assembly plant failed, the company is trying again, this time in Chattanooga, TN, with the Passat. The German automaker inaugurated the $1 billion plant May 24. Production capacity is 150,000 units per year, with separate shops for body build, paint. VW says the paint shop is the first in the world to use a waterless separation process for topcoat application, reducing CO2 emissions by about 20%. The plant is environmentally friendly in other ways as well, meeting U.S. LEED (Leadership in Energy and Environmental Design) standards and relying entirely on LED technology for outdoor lighting. The overall lighting system at the plant uses about 20% less energy than a comparable facility, according to VW. The plant also includes a technical testing center, and a supplier park is located off-site.