geopolitics

Audi plans Georgia assembly plant and South Carolina output, source says

According to Reuters, Trump is set to announce an Audi plant in Georgia producing 200,000 SUVs a year, plus 25,000 vehicles in South Carolina.

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what happened

US President Donald Trump is expected to announce on Saturday that Audi, the premium unit of Volkswagen, plans an assembly plant in Georgia, a government official told Reuters. The facility would produce 200,000 SUVs a year, including the Q7, Q8 and Q9 models.

Audi is also expected to build 25,000 vehicles in South Carolina at Scout Motors' $2 billion plant under construction in Blythewood. Some of the cars now built in Europe would be exported. Audi declined to comment, and the White House did not immediately respond to a Reuters request.

why it matters

The move signals a shift of production to the US under tariffs on autos, steel, aluminum and parts. Audi sales fell 7% in the first half of 2026 and are down 16% in the US this year, so the plan may be an attempt to offset weaker demand. Critics say tariffs have raised vehicle prices, and cuts to EV incentives have already reduced US EV and battery output.

market impact

Autos: production shifts to the US and tariff pressure matter for Volkswagen and the wider industry

tags

instruments

VolkswagenAudiToyotaHondaUS autosScout Motors

sources

  1. Trump set to announce Audi plan to build US factory in Georgia, source says — Reuters, 24 October 2026 at 22:50 UTC

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