Audi will invest about $4 billion to build a large factory in Georgia, making it the German brand’s first production plant in the United States. The company has been evaluating a local production facility for well over a year in response to the Trump administration’s tariffs and has finally decided it’s the right time to build it.
Unlike rival BMW, which builds thousands of vehicles in the U.S., Audi produces all the vehicles it sells locally in overseas factories, meaning they’re subject to tariffs. These tariffs cost Audi $1.4 billion last year alone, and it can’t absorb those costs forever. The new plant, set to commence construction next year, will have an annual capacity of up to 200,000 vehicles, with production scheduled to start in the early 2030s.
U.S. President Donald Trump announced the plant during a campaign rally in Georgia and even brought Audi’s Chairman of the Board of Management, Gernot Döllner, onto the stage. Audi says it will build premium SUVs at the new plant and believes it will “unlock significant growth potential in one of the world’s most important premium markets.” It also says the site will help establish North America as the third major pillar of its global production network alongside Europe and China.
The Middle Georgia Mega Site will create approximately 4,500 jobs and also generate new opportunities among suppliers, training partners, and service providers. President Trump has cited his tariffs as sparking a resurgence in U.S. manufacturing and, during his speech in Georgia, claimed that approximately $40 billion has been invested in the nation’s automotive industry, creating 30,000 new jobs.
Bringing jobs to America
“We have much greater ambitions for Audi in America,” Döllner said. “The United States is one of the world’s most important premium markets, and we have not yet realized our full potential. We are determined to change that — with premium products, a stronger brand and a competitive local production base. This is about building a stronger Audi business in America — not only about building a factory.”
Audi did not specify which models it will build at the factory. However, Reuters reports they will include the Q7, Q8, and the all-new Q9, which was displayed at the rally in Georgia over the weekend. It has also been reported that Audi could build up to 25,000 vehicles at Scout’s planned South Carolina factory.
“Building a new plant from the ground up allows us to rethink manufacturing from day one,” added Audi board member for Production and Logistics, Gerd Walker. “We can design highly efficient and flexible production processes, integrate advanced technologies and develop a strong local supplier network. Our ambition is to establish a benchmark for premium manufacturing that strengthens Audi’s global production network.”
The new Georgia factory won’t only give Audi an answer to BMW’s local production presence. Mercedes-Benz also operates a major manufacturing hub in Alabama. Recent investments at this site will increase annual production up to 340,000 units. Popular models built here include the Mercedes GLE, GLS, EQE SUV, EQS SUV, Sprinter, and, starting late next year, the GLC.
