Audi will establish its first manufacturing plant in the United States in Macon, Georgia, marking a significant investment by the German automaker aimed at bolstering its presence in the American market. The announcement was made on Saturday by former President Donald Trump during a campaign rally in Perry, Georgia.

The new facility, slated to produce approximately 200,000 vehicles annually, is expected to generate around 4,500 jobs and represents an investment of $4.2 billion. Construction is scheduled to begin next month, with production anticipated to start in the early 2030s. Audi CEO Gernot Döllner highlighted that the plant will focus on producing Audi’s largest and most premium SUVs, tailored specifically to U.S. consumers.

Audi, a division of Volkswagen Group, has long contemplated building a factory in the United States. Unlike its German counterparts BMW and Mercedes-Benz, which operate factories in the U.S. South, Audi currently manufactures most of its U.S.-market vehicles in Germany, Mexico, and parts of Europe. This reliance has made the company especially susceptible to tariff impacts during the Trump administration. Audi reported that tariff-related expenses reduced its profits by roughly €1.2 billion ($1.35 billion) in 2025 and signaled similar financial effects in 2026, leading to higher prices on several models to offset these costs.

The decision to build a U.S. facility coincides with a broader strategic shift as Audi experiences declining sales in China, its largest single-country market. Chinese buyers have increasingly favored domestic brands, causing Audi’s sales there to fall by 19% compared to the previous year. Conversely, the American market is now the key focus for growth, underscored by the recent introduction of the Q9, Audi’s largest SUV, designed primarily for U.S. consumers. In 2025, Audi sold roughly 165,000 vehicles in the United States, reflecting a 16% decline from the previous year.

Georgia was chosen for the new plant due to its investment-ready site, skilled labor force, established automotive supply chain, and strong logistics network, according to Audi. The move also carries political significance, as it provides an economic boost to Georgia—a battleground state heading into the November midterm elections. Republican candidates, including incumbent Senator Jon Ossoff’s challenger Mike Collins and gubernatorial candidate Rick Jackson, stand to benefit from the job creation and economic activity associated with the factory.

This announcement aligns with broader industry trends as automakers reposition themselves amid shifting global market dynamics. Volkswagen’s other U.S.-focused venture, Scout Motors, unveiled plans last year for an assembly plant in South Carolina, aiming to start production by 2027 with customer deliveries from 2028.

Overall, Audi’s investment in Georgia represents the largest single auto manufacturing investment announced in the U.S., underscoring the company’s intent to deepen its American footprint while navigating the complexities of global trade and evolving consumer preferences.