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Audi is the only upscale automaker without a factory of its own in the US, and that is about to change. On Saturday, Audi announced plans for a new, $4 billion factory in Peach County, Georgia. US President Donald Trump could not resist making political hay out of the news, but then again, the joke may be on him. Audi’s plan for the US market reportedly includes plug-in hybrids with a battery range of range of 70-80 miles. So much for the war on EVs…
Plug-In EVs: Problem Or Solution?
Plug-in hybrid EVs have fielded a fair share of criticism for only going halfway — or less — down the decarbonization trail. However, here in the US where long distance commutes are common, plug-in hybrids provide drivers with a gasoline-soaked security blanket that is difficult to shake. For those with less onerous driving schedules, the high cost of gas provides ample incentive to log as many miles on battery power as possible.
Regardless of driver habits in the US, Audi CEO Gernot Döllner is evidently among those anticipating that the US market will come around to full battery EVs eventually, following the lead of China and Europe. “In China, we see a complete transition to battery electric, and the same is true for Europe in a 10-year perspective,” Döllner told a group of reporters in August, including US News & World Report managing editor Alex Kwanten.
“And we see it totally differently in North America, especially the U.S.; we see for the next 10, 15 years still a dominance in combustion engine and hybrid drivetrains, and we will have to reflect that in our global portfolio,” Döllner added.
More Hybrid EVs For The USA
While waiting for the US market to come around to full battery EVs, Audi has been leaning on plug-in hybrids as a workaround. “We will take first steps to bring plug-in hybrids to the US,” Döllner affirmed to US News & World Report in July.
“I can definitely say that the RS model that will come to the market will be a plug-in hybrid one, and we are evaluating which other segments also could make sense in bringing that to the U.S. market,” he added.
According to reports, the new Audi RS 5, 630-horsepower high-performance plug-in will be the first to arrive, sometime later this year or early next year. For the performance class, drivers can expect a battery range of 50 miles. Regular hybrids will clock a range of 70-80 miles.
Automotive News also added some details in July. “Audi of America President Vito Paladino confirmed the German luxury brand will offer hybrids beyond the upcoming RS 5 sedan and Nuvolari supercar, which feature different plug-in hybrid systems,” Automotive New summarized in a Facebook post.
“We will have hybrids in our lineup,” Paladino told Automotive News, though reporter Jack Walsworth noted that Paladino was rather vague on the details.
Audi To Open New Factory In The US
Another detail left dangling is how much, if any, of Audi’s plug-in hybrid lineup for the US will be manufactured at the new US factory. That’s a good question. Maybe, maybe not. Grading of the site scheduled for 2027 and construction will begin the following year. With full production not expected until 2031, the timeline provides Audi with some wiggle room to adjust its electrification strategy for the US market.
The office of outgoing Georgia Governor Brian Kemp (he’s term-limited) issued a celebratory press release on October 24 that also suggests Audi may adjust its plans as the market evolves, noting that the new factory “will be designed around Audi’s future manufacturing requirements, with a focus on efficiency, flexibility, and the ability to respond to evolving customer needs and market demand.”
“In choosing Georgia, Audi cited speed-to-market, workforce, access to consumer markets, and proximity to an established automotive supply chain,” the Governor’s office further explained, while also highlighting the 4,500 new jobs Audi is expected to bring to the state.
What’s All This About Georgia?
Left unmentioned in the October 24 press release was Georgia’s vanguard position in the domestic EV manufacturing field. That’s a funny position for a politically conservative state to be in, but Governor Kemp has been among the rare Republican office holders to support the vehicle electrification movement.
If the Audi factory does churn out hybrid EVs in Georgia, it will be in good company. “Since 2018, 35 EV-related projects have contributed $23 billion in investments in Georgia,” the Georgia Department of Economic Development reported back in 2023.
And then there’s EV startup Rivian. In November of 2024, Rivian scored a $6.5 billion loan from the Biden administration to build a new factory in Georgia. Somehow the automaker managed to keep much of the funding after Trump took office and began waging war against EVs. A groundbreaking ceremony took place in September of 2025, and if all goes according to plan, Rivian’s electric cars will roll off the assembly line in 2028.
Making Political Hay
As for Trump, EVs were probably not top of mind when he stumped for Republican candidates at a rally in Perry, Georgia on Saturday. Somehow he convinced Döllner to step on stage with him to announce the new factory.
Döllner’s appearance with Trump was met with a storm of criticism from both sides of the pond, including from Christiane Benner, who heads the leading German trade union IG Metall and also sits on the supervisory board of Volkswagen as its deputy chair.
“Christiane Benner…called Döllner’s US appearance ‘extremely embarrassing, politically unacceptable and unworthy of the company, but above all of Audi’s employees,” The Guardian reported on October 26.
“She accused Döllner of being in ‘flagrant breach’ of the company’s code of conduct, ‘which expressly requires political neutrality in the run-up to elections,’” The Guardian added.
The Guardian further noted that Benner threw down the gauntlet, advising that the supervisory board is supposed to be involved in major decisions like the Georgia factory.
Oopsies! Maybe that new factory won’t get built after all. Adding insult to injury, The Guardian notes that Volkswagen “aims to slash tens of thousands of positions and close plants in Germany.”
Ouch! If you have any thoughts about that, drop a note in the discussion thread.
Photo: The German automaker Audi has dialed back its full EV plans for the US market, but its strategy still include plug-in hybrids and a new factory in Georgia, too (photo courtesy of Audi).
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