Volkswagen plans to enter the electric pickup market in the U.S.

According to Reuters sources, the German automaker will invest about $106 million in its new Scout brand. The concern will create an independent company with production starting in 2026.

VW Group CEO Herbert Diess said that "electrification presents a historic opportunity to enter the U.S. pickup truck market." Volkswagen plans to compete with Rivian and Ford in the U.S. market.

Currently, 75% of Volkswagen's U.S. sales come from SUVs. The electrification trend and VW's resources can attract many customers to the company's products.