Audi may set up first US plant to benefit from new EV tax credit

Up till now, all Audi cars sold in the US are imported. However, as Automotive News reports, that may change as the German brand is considering building its first manufacturing plant in the country.

This will enable Audi to take advantage of the new tax credit.

You may be able to buy an electric Audi A3 with 650 km range in 2027.

The Inflation Reduction Act requires EV makers to produce their cars in the US. Oliver Hoffmann, head of Audi’s technical development, said the new rules would significantly impact his company’s strategy in North America. Hoffmann commented, “To be honest, we are looking right and left: What can be the opportunity for us to get together with a strong [Volkswagen Group] in the background. And now we are on the way, especially as the rules changed, and as you know, there is big spending of the government for EVs, with special circumstances, and we are looking forward to how we can meet these requirements.”

According to Hoffmann, the decision to build an American EV factory may come as soon as early next year.

Audi, along with other popular brands, is owned by Volkswagen. The German auto behemoth has started producing the VW ID4 in Chattanooga, making the car the only one from its stables that qualify for the new incentive. 

Volkswagen plans to manufacture batteries in the US too.

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