Audi may build EVs in the US to dodge Trump’s new tariffs

Audi is looking to dodge new US tariffs by manufacturing its electric vehicles on American soil.

After the Trump administration slapped a 25% tariff on EVs imported from outside North America starting May 3, Audi is eyeing three possible production sites in the US to avoid the hefty fees. Right now, the automaker imports most of its US-sold vehicles from Europe and Mexico, but that’s now a lot more expensive.

Sources told Germany’s Automobilwoche (via its sister publication Automotive News Europe) that Audi may tap into its parent company Volkswagen Group’s US facilities to make the move. One option is to build the Q4 E-tron or its future version at VW’s Chattanooga, Tennessee, plant. That factory already builds the VW ID.4, which rides on the same MEB electric platform as the Q4 E-tron.

Audi is also reportedly considering the under-construction Scout Motors factory in Columbia, South Carolina, for the Q8 E-tron. The midsize electric SUV was initially slated for production in Mexico, but South Carolina could be a more cost-effective bet now in light of Trump’s tariffs.

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For its third electric SUV, the upcoming Q6 E-tron, Audi is said to still be hunting for a US production site.

So far, nothing is official. But Audi isn’t hiding the fact that it’s ramping up efforts to expand its US presence. A spokesperson told Automotive News Europe: “We are currently examining various scenarios. We are confident that we will be able to decide on the specific details in consultation with the Group before the end of this year.”

On a May 5 earnings call, Audi CFO Jürgen Rittersberger confirmed that the company plans to launch 10 models in the US and will lock in production locations before the end of 2025.

Read more: Facing pressure, Trump scales back tariffs for US automakers

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