Volkswagen AG launched a U.S. subsidiary Tuesday designed to oversee $2 billion in investments to promote zero-emission vehicles such as electric cars, a commitment the German auto giant made in the wake of cheating on U.S. emissions tests for several years.

Dubbed Electrify America LLC, the organization is an attempt to show a renewed commitment to clean vehicles by pouring money into electric-vehicle charging stations in the U.S. It comes about 16 months after U.S. regulators first said Volkswagen VOW3, -0.91% VOW3, -0.52% US:VLKAY installed so-called defeat devices on diesel cars that misstated emissions levels.