Audi to Invest $4 Billion in Georgia Plant With Annual Capacity of 200,000 Vehicles
Key Facts
Audi said it plans to invest about $4 billion to establish its first production site in the United States, in Georgia, with capacity for up to 200,000 vehicles a year and about 4,500 expected jobs. The company said the plant will make luxury sport utility vehicles for North American customers, without naming the models. The project will add local production in a market where Audi relies on imports from Europe or Mexico. Chief Executive Gernot Döllner said the company “has not achieved its full potential” in the U.S. market. He described the investment as long-term, saying Audi believes in the U.S. market. The United States is the world’s second-largest luxury car market, according to the company.
Audi says local manufacturing is part of a broader strategy focused on customer needs, its product lineup and a more competitive business model. It added that producing luxury SUVs close to customers in North America is intended to support growth and strengthen its regional presence. A stronger presence in the region, it said, will help it build a more balanced and resilient global business and reduce its exposure to trade and currency risks. The move toward production in the United States comes as President Donald Trump’s administration pressures automakers to shift manufacturing to the country. The administration imposed tariffs on cars, metals and auto parts, Reuters reported. The news agency also said the tariffs cost Audi $1.4 billion in 2025, while the company relied on imports to meet U.S. market demand.
At a campaign rally in Georgia, Trump attributed the decision to build the plant to his tariff policies, the Associated Press reported. The U.S. president valued the project at $4.2 billion, while Audi announced an investment of about $4 billion. The announcement came ahead of the midterm elections scheduled for November 3, 2026, as Republicans brace for possible electoral losses, according to the agency. The factory announcement comes against the backdrop of job cuts at Volkswagen Group, and does not mean the new jobs will change that plan. Earlier EL7 stories covered a plan to cut up to 100,000 jobs by 2030. Reuters also reported that the company did not comment on a report of possible cuts of up to 100,000 jobs worldwide, and that it said its current business model was no longer viable for all its brands in its present form.
Audi selected the Middle Georgia Megasite in Peach County, according to the governor’s office. The office said Audi cited speed to market, available workforce, access to consumers and proximity to an established automotive supply chain as reasons for choosing Georgia. These factors link the site selection to the regional manufacturing plan the company announced. Construction on the plant is scheduled to begin in 2027, with production starting in the early 2030s, according to Audi. The governor’s office timeline, however, breaks the project into phases: site grading in 2027, construction of the facility starting in 2028, and full production in 2031. That means the planned capacity will not come online as soon as construction begins.
In trading, Volkswagen shares, which trade under the ticker VWAGY, closed at $7.64 on October 23, 2026, according to EL7 data. The data provided do not include the stock’s daily trading range. On the upcoming calendar, the U.S. advance report on durable goods orders is due on October 27, 2026; it measures new orders in the manufacturing sector. The Federal Reserve will hold its meeting on October 27 and 28, with a press conference scheduled for October 28. These dates follow the investment announcement, while construction is not scheduled to begin before 2027.