Trump says Audi will build $4.2 billion Georgia plant; tariff relief talks continue

President Donald Trump announced Saturday at a campaign rally in Perry, Georgia, that Audi will build an auto plant in the state. He said the German luxury brand, which Volkswagen owns, would commit $4.2 billion in nearby Macon to a plant making 200,000 cars a year ¹. Bloomberg reported the plant would make the Q7, Q8 and Q9 SUVs ².

Audi said in a news release that the plant would create about 4,500 jobs. Construction is scheduled to begin in 2027, and production would not start until the early 2030s ¹. The timing matters for readers weighing a jobs promise made days before an election.

What Trump and the company said

Trump credited his tariff policies for the decision. The Associated Press called those policies "aggressive and unpopular" ¹. Tariffs are taxes on imported goods, and importers often pass them along in higher prices.

Think of that. 200,000 cars a year. That’s incredible,

Audi board chairman Gernot Döllner joined Trump on stage and called the plant a long-term bet ¹. Rick Jackson, the Republican candidate for Georgia governor, also thanked Trump at the rally ¹.

From Channel GOPOssoff: Georgians die younger than LebaneseJon Ossoff · 157 plays · captioned, with the source named

Thank you on behalf of Georgia for putting the biggest economic deal in Georgia history right here today,

Tariff relief is still unsettled

Bloomberg reported that Trump and the company will keep talking about some kind of tariff reprieve in exchange for the investment. Any relief would apply to all manufacturers that expand U.S. production, not only Volkswagen brands ². The talks focus on a proportional tariff credit for carmakers that commit to new U.S. production ².

Bloomberg also reported that, unlike BMW and Mercedes-Benz, Audi relies exclusively on imports from Europe and Mexico in the U.S. That leaves it exposed to heavy tariffs ². Audi's U.S. sales fell 16% this year through September, the report said ².

Bloomberg also reported that Audi had considered a U.S. plant on and off since 2018 and kept delaying the decision. Volkswagen's chief executive had said the group could not afford high tariffs and heavy investment at the same time ².

The political backdrop

The announcement came days before the midterms, as Republican candidates in Georgia, including Rep. Mike Collins, who is challenging Democratic Sen. Jon Ossoff, seek votes ¹. Republicans are bracing for losses in the Nov. 3 midterms. The AP described an unpopular president and voters angry over high costs and the war in Iran ¹.

That matters because a plant that opens in the early 2030s does nothing for car prices or paychecks this year. The wire reports did not say whether Georgia is offering incentives, and they did not detail any effect on prices. Neither Ossoff nor any other Democrat was quoted in the coverage we reviewed.

What happens next: Audi says construction starts in 2027 ¹. Any tariff relief remains under negotiation ².

The Record

1. Sep 30, 2026Audi's U.S. sales were down 16% for the year through September ².
2. Oct 24, 2026Trump announced at a Perry, Georgia, rally that Audi will build a Macon plant making 200,000 cars a year ¹.
3. Jan 1, 2027Audi says construction is scheduled to begin in 2027, with production in the early 2030s ¹.

Sources

1. ABC News (AP), “Trump announces at a Georgia campaign rally that Audi will build a new auto factory in the state” (2026-10-25). abcnews.com/US/wireStory/trump-announces-georgia-campaign-ra
2. Bloomberg via Yahoo Finance, “Volkswagen Plans New Audi Plant in Georgia, Handing Trump a Win” (2026-10-24). finance.yahoo.com/economy/policy/articles/volkswagen-plans-a

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