Audi's CEO Gernot Dollner emphasized that the new plant, which will be the company's first in the U.S., is part of a long-term strategy to capitalize on the U.S. premium vehicle market, which is the second largest globally.
The decision follows a thorough evaluation of over 70 potential locations and is seen as a response to the operational challenges posed by U.S. tariffs, which previously cost Audi approximately $1.4 billion last year. The plant is expected to produce up to 200,000 vehicles annually, including models like the Q7, Q8, and Q9, with about half of the production intended for export.
This move positions Audi to better compete in the U.S. market, especially as it has struggled with sales in recent years. Dollner clarified that this decision does not detract from Audi's operations in Germany, which will continue to be the core of its development and technology.
The timing of the announcement, coinciding with a political rally, was noted as a coincidence, although it reflects the company's commitment to expanding its footprint in the U.S. automotive landscape