Audi’s main plant in Ingolstadt is facing a prospect of extremely low utilization this year. According to reports from the “Handelsblatt”, production in Ingolstadt is projected to reach only about 325,000 vehicles this year. This figure is significantly below the factory’s capacity of 450,000 passenger cars annually, and represents one of its lowest production periods, comparable only to the peak of the COVID-19 pandemic in 2021. Audi did not comment on specific production figures for the current year when approached for comment.
A primary contributing factor cited by Audi is weak demand for electric models, such as the A6 e-tron and the Q6 e-tron, both of which are produced in Ingolstadt. Industry sources indicate that for the Q6 e-tron, competitive pressure from rivals BMW and Mercedes is particularly noticeable. The recent release of electric SUVs from competitors, the GLC and iX3, has further complicated the sales market for Audi.
This issue of low utilization in Ingolstadt coincides with Volkswagen Group’s plans to invest in a dedicated Audi production facility in the United States. The second-largest automaker in the world discussed its North American strategy at a supervisory board meeting on Friday. The plan is to move the production of all major SUV models popular in the US, which are currently manufactured in Bratislava, Slovakia, to a US facility. These models are the recently redesigned Q9 and Q7. According to a source familiar with the matter, “The current generation of the Q9 and Q7 is still built in Bratislava. However, the revamped versions of these models could potentially be manufactured at a new Audi plant in the US starting in the early 2030s.” Audi declined to comment on these plans.
