Manufacturing In Mexico May Sprout An Audi Production Plant

Manufacturing In Mexico may get yet another automobile production facility from parent company, Volkswagen.  VW’s high-end luxury brand, Audi, is said to be leaning towards building a new plant in Mexico.  VW already produces the Jetta and Beetle in their Puebla facility, though typically luxury vehicles other than Cadillac’s crossover model, SRX, are not produced in Mexico.  Audi could clearly change that.  According to the report by WardsAuto, an Audi manufacturing in Mexico plant could position the company nicely to export vehicles to North America, South America and even Europe, without sustaining increased import and export tariffs.  The Audi brand sold a record 117,561 cars in the U.S. for 2011.

Other locations Audi is considering for a new facility include Chattanooga, Tennesee and Huntsville, Alabama.  Chattanooga may offer an “attractive potential location” for an Audi plant since VW already occupies a 1,300 acre site for their North American VW production, with an option for 1,000 acres more that Audi could clearly access.  Combine land option leases already in place with Tennessee’s incentives, and Audi could be persuaded to build there.  Yet, according to Audi President Johan de Nysschen for America’s recent claim that the VW brand already has existing plans for the 1,000 acres, Mexico could remain in serious contention for Audi’s possible manufacturing in Mexico efforts.


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