Audi is taking a major step into the US: the premium manufacturer from Ingolstadt plans to invest around four billion US dollars in its first own US car plant in the state of Georgia.

The announcement was made on Saturday, 24 October 2026, at a campaign rally held by US President Donald Trump in Perry, Georgia. Trump appeared alongside Döllner and stressed in his speech that his trade policy was persuading companies to shift production to the United States. The announcement is likely to go down well in the battle for the midterm elections on 3 November.

Audi chief executive Gernot Döllner justified the investment in his address with the company’s long-term ambitions in the United States: the American market is one of the most important premium car markets worldwide, but Audi has not yet fully tapped its potential there.

Production scheduled to start in the early 2030s

The plans envisage an annual capacity of up to 200,000 vehicles and around 4,500 jobs. The plant is to be built at the Middle Georgia Megasite in Peach County, near the city of Macon. According to the state authorities, Georgia was chosen as the location, among other reasons, because of its existing supplier industry, transport links and available skilled labour. The possibility of expanding the facility at a later date also played a part in the decision.

According to the company, preparatory work is scheduled to begin in 2027, with series production due to start in the early 2030s. The government of Georgia gives 2031 as the target date for the start of full production.

With around 4,500 planned jobs, the project would be a major industrial undertaking for the region. Additional positions at suppliers, logistics providers and service companies would come on top.

Large SUVs for the American market

The new plant will primarily build large, high-priced sport utility vehicles. Reuters reports, citing a US government official, that the Audi Q7, Q8 and Q9 models are planned. Audi itself speaks of particularly large and upmarket SUVs that are to be tailored to the needs of North American customers.

For Audi, the move is strategically important, as until now the company has imported its vehicles for the US market from Europe or Mexico. Local production would reduce its dependence on international supply chains and exchange-rate fluctuations. At the same time, Audi would be producing closer to its American customers and strengthening its competitive position vis-à-vis manufacturers with their own US production facilities, as the carmaker emphasises in an official statement.

Trump claims success for his tariff policy

Trump has imposed additional tariffs on imports of cars and car parts and has repeatedly urged foreign manufacturers to produce more in the United States. For companies like Audi, this policy increases the cost of imports, making local manufacturing more economically attractive. According to Reuters, Trump’s tariffs cost Audi around 1.2 billion euros last year.

However, this does not mean that tariffs alone are responsible for the choice of location: Audi also points to the long-term expansion of its US business, access to the market, existing infrastructure and the regional supplier base.

What does this mean for Germany?

The decision raises questions for the Volkswagen Group’s German plants. Additional production in the United States does not automatically mean that jobs in Germany will be lost, but it does change the geographical distribution of future investment and increases the importance of North America.

Audi stresses that Germany and Europe will remain the industrial backbone of the company, and that the existing expertise in development, engineering and production will simply be complemented by the new site.

According to public broadcaster Tagesschau, the IG Metall union broadly welcomes the stronger focus on the US market, but at the same time is calling for binding long-term prospects for employees at German sites. In addition, the union says the final decision is still subject to approval by the relevant Volkswagen committees.

Georgia: an industrial hub with an automotive tradition

Georgia has long been a centre of the American car industry. South Korean carmaker Kia has been producing vehicles in West Point since 2009, while Hyundai, also from South Korea, has built a multi-billion-dollar plant for electrified vehicles near Savannah. Added to this are the efficient ports of Savannah and Brunswick, through which vehicles and components can be transported internationally.

For Trump, the investment would be another trump card in his strategy of bringing more industrial production to the United States. For Audi, it brings the company a step closer to one of the most important car markets in the world.

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