Audi plans its own US factory reaction to new punitive tariffs
from Constantin Hoffmann to Jun 25, 2025

Shattered high US tariffs Audis America business? The Ingolstadt premium manufacturer seriously checks the construction of its own Audi US factory - A decision that could vigorously change the transatlantic production network.
Why Audi has to act
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Since Trumps 25 %-import customs (Mexico now 15 %), Q5, Q7 & Co. have hardly been profitable in the USA.
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Passing the customs costs to customers would ruin competitiveness.
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BMW, Mercedes and VW have long been producing locally - Audi.
Work options at an overview
Audi has three scenarios on the table:
option | Location | status | Plus points | Hurd |
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New building (favorite) | Southern | Decision 2025 | full capacity control, supplier pool of the VW group | Investments, construction time |
Production at VW | Chattanooga, Tennessee | Existing Id.4-Werk | Synergies, quick implementation | Limited line capacity |
Manufacturing at Scout | Blythewood, South Carolina | Work in construction (start 2026) | Modern infrastructure | Product mix, timing |
Timetable & capacity
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Board decision after the conclusion of the EU-USA customs discussions 2025
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In the event of a new building: groundbreaking 2026, start of production at the end of 2027/early 2028
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Planned workforce: 3,000 - 4,000 employees
Strategically use
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Duty For US sales and export criminals for EU imports
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Shorter delivery times & lower logistics costs
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More flexible model policy, e.g. B. New SUV derivatives especially for North America
What does that mean for German buyers?
For us in Europe everything remains purely informative: vehicles for the local market continue to come from Ingolstadt, Neckarsulm, Győr or Mexico. However, it becomes exciting whether a US production is relieved of Audi's costs and thus creates air for additional technology upgrades or price campaigns in the EU-similar to Tesla uses its global works flexibly.
outlook
The result of the upcoming customs negotiations is crucial. If punitive tariffs stay high, Audis is likely US factory Come - and sort the competition on the world's largest premium market. We keep you up to date.