According to a recent report, Volkswagen is developing a seven-seat crossover for the United States.

According to a recent report, Volkswagen is developing a seven-seat crossover for the United States.

Details are limited, but Auto Express is reporting the model will built alongside the US-spec Passat in Chattanooga, Tennessee. This will enable the crossover to be priced less than the $44,450 Touareg, which has suffered low sales due to its premium positioning.

As we have previously reported, Jonathan Browning - the CEO of Volkswagen America - is particularly bullish on SUVs. He sees them as vital to Volkswagen's effort to become competitive in the United States and meet their goal of selling 800,000 vehicles annually by 2018.