Volkswagen Considering Production of Audi and Porsche Models in the US

• The profit margin will be affected by these tariffs.

• Audi currently assembles the Q5 in Mexico.

Currently, Volkswagen is the only brand in the German empire to assemble vehicles in the US. And, with the arrival of tariffs announced by the new Trump administration, the German group could be forced to review its position in North America.

At least, that’s what the German daily newspaper Handelsblatt claims, asserting that the Audi and Porsche divisions could benefit from the Chattanooga, Tennessee site. The German newspaper reported that it had several sources within the Volkswagen giant.

Nor does the publication rule out the Scout electric vehicle plant in South Carolina. This resurrected American brand also belongs to Volkswagen.

As for the Tennessee complex, which currently assembles both versions of the Atlas SUV and the ID.4 electric crossover, it can easily increase its production capacity, and a plant expansion could also prove possible.

The application of these new tariffs on imports of vehicles produced in Europe and Mexico would be enough for Volkswagen’s top management to consider moving production of certain Audi and Porsche vehicles to the USA.

For the moment, the very popular Audi Q5 is built in Mexico at the San Jose Chiapa plant, while all other vehicles from the two luxury divisions are assembled in Europe.

It now remains to be seen what will happen in this case, as profit margins will drop dramatically when the tariffs come into effect.