German luxury automaker Audi plans to invest $4.2 billion in its first US vehicle assembly plant in Georgia, with the facility expected to produce 200,000 SUVs annually and create approximately 4,500 jobs.
President Donald Trump announced the investment at a campaign rally in Perry, Georgia, on Oct. 24. The proposed factory will be located near Macon and is expected to manufacture some of Audi’s largest and most premium sport utility vehicles for the North American market.
According to Reuters and LiveMint, construction is scheduled to begin in 2027, with production expected to start in the early 2030s. The investment is equivalent to approximately ₹37,000 crore.
Audi Chief Executive Officer Gernot Döllner said the company plans to manufacture its largest and most premium SUVs at the Georgia facility, describing the project as a long-term commitment to the American market.
READ: EnerVenue opens China battery factory after abandoning $264M Kentucky plant (September 22, 2026)
“This is a long-term investment because we believe in the American market,” Döllner said at the event, according to Reuters.
Audi plans to manufacture Q7, Q8 and Q9 SUVs
The proposed plant is expected to assemble the Audi Q7, Q8 and Q9 SUVs, according to a US official cited by Reuters. The facility would establish Audi’s first vehicle manufacturing operation in the United States.
Audi is a premium automotive subsidiary of Volkswagen Group, the German multinational that owns several vehicle brands. The company currently imports the vehicles it sells in the US from manufacturing facilities in Europe or Mexico.
The Georgia investment would expand Audi’s production footprint in North America and reduce its reliance on imported vehicles for the US market.
The announcement comes as the automaker faces challenges from intensifying competition, particularly in China, and the financial impact of US import tariffs. According to Reuters, Audi’s global sales declined 7% in the first half of 2026, while its US sales fell 16%.
Reuters also reported that US tariffs cost Audi approximately €1.2 billion, or $1.4 billion, last year.
Trump credits tariffs for investment
Trump presented the proposed factory as evidence that his trade policies are encouraging automakers to expand manufacturing in the United States. His administration has imposed tariffs on imported automobiles, steel, aluminum and automotive components while urging companies to shift more production to the country.
Republican Sen. Bernie Moreno of Ohio also credited tariffs and regulatory changes for the planned investment. However, critics have argued that higher import duties can increase vehicle prices and create uncertainty for businesses making long-term investment decisions.
The announcement comes ahead of the Nov. 3 midterm elections, with Georgia among the states featuring competitive congressional and statewide races. Trump has made domestic manufacturing and his tariff policies central themes of his economic message.
Other automakers expand US manufacturing
Audi’s proposed investment comes as other international automakers consider or pursue expanded production in the United States.
READ: Apple to spend $30 billion in Broadcom deal to expand Colorado chip factory (July 8, 2026)
Toyota announced in July 2026 that it would invest $3.6 billion in a truck assembly facility at its manufacturing campus in San Antonio, Texas. The project is expected to create approximately 2,000 jobs, with completion targeted for 2030.
Honda has also raised concerns about trade-policy uncertainty, while Hyundai has indicated that greater clarity over the future of the US-Mexico-Canada Agreement could influence additional investment decisions. For Audi, the Georgia factory represents a major shift in its US manufacturing strategy. The company will need to complete construction and prepare production operations before the plant can begin delivering vehicles in the early 2030s.