Audi announces new US factory at Trump campaign rally

German carmaker Audi announced plans to build its first factory in the United States during a campaign rally held by US President Donald Trump in Georgia on Saturday.

Trump told supporters that construction of the large SUV plant would begin next month and that it would produce 200,000 vehicles a year.

Audi chief executive Gernot Döllner then joined Trump on stage and thanked him for his support.

In a statement, however, Audi said construction was scheduled to begin in 2027, with production expected to start in the early 2030s.

The carmaker plans to invest around $4 billion and create some 4,500 jobs at the factory, which will produce premium SUVs tailored to North American customers.

The announcement comes less than 10 days before the November 3 midterm elections, when Trump's Republicans will seek to defend their narrow majorities in both chambers of Congress.

Since returning to office in January 2025, Trump has pressured foreign companies to shift production to the US, imposing steep import tariffs while offering the prospect of avoiding duties by manufacturing locally. The president hopes the measures will boost the US economy and create jobs.

Germany's IG Metall union welcomed the plans but called for clear commitments to employees at Audi's existing sites.

"Improving access to the US market through a new plant is right and necessary," union leader Christiane Benner said in a statement.

However, she stressed that the company must also set out clear, binding plans for employees at all its sites, particularly those in Germany.

Benner, who also serves as deputy chair on the supervisory board of Audi's parent company Volkswagen, said the final decision on building a factory in the US was subject to approval by Volkswagen's supervisory board.

Volkswagen chief executive Oliver Blume said the entire group would benefit from success in North America.

"We see the region as an important market for profitable growth," Blume said in a statement, adding that a potential Audi plant in the US would help the group produce vehicles locally for the US market.