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Audi‘s U.S. production plans are taking shape as the automaker seeks to avoid tariffs implemented by the Trump administration.
Audi could build vehicles at three locations in the U.S., in part by leveraging production capacities of parent Volkswagen Group, sources told Automotive News Europe sibling publication Automobilwoche.
Audi imports cars it sells in the U.S. from Mexico and Europe, which is now a problem because of 25 percent tariffs that went into effect May 3.
To avoid tariffs, Audi could build the Q4 E-tron compact electric crossover or its successor at VW’s plant in Chattanooga. The Q4 E-tron shares its MEB platform with the VW ID4, which is built there.
The Q8 E-tron midsize electric crossover, which Audi had planned to build in Mexico, could go to the VW sibling company Scout’s plant — still under construction — in Columbia, S.C.
Audi is searching for a third location to build the Q6 E-tron compact electric crossover, sources told Automobilwoche.
Audi did not confirm any U.S. production plans. A spokesperson told Automotive News Europe that the U.S. is the “third global pillar” of Audi’s worldwide growth strategy, alongside Europe and China.
“We want to increase our presence in the U.S.,” the spokesperson said. “We are currently examining various scenarios. We are confident that we will be able to decide on the specific details in consultation with the Group before the end of this year.”
On an earnings call with reporters May 5, Audi CFO Jürgen Rittersberger said the company planned to introduce 10 models to the U.S. and would decide this year on production sites.
Other German automakers are also pursuing plans to increase U.S. production.
Mercedes-Benz has announced plans to build an additional model at its Tuscaloosa, Ala., plant starting in 2027. According to Automobilwoche sources, this will be the GLC compact crossover.
The GLC is Mercedes’ second bestselling model in the U.S.
In February, Mercedes CFO Harald Wilhelm said the Trump tariffs could cost Mercedes $1 billion.