UPDATE: As the effects of the Trump administration tariffs ripple through different industries, automaker Audi is reportedly considering building a “twin” plant in Chattanooga, according to German business journal Handelsblatt.
Volkswagen Chattanooga is said to be the favored location, since the current facility has been operational for more than 13 years and could reduce the construction time and cost.
Annual production could be as high as 150,000 to 200,000 vehicles annually.
PREVIOUS STORY: German automaker Volkswagen is said to be considering the building of both Audi and Porsche vehicles in the United States, according to recent reports.
Several Volkswagens for customers in the United States are built in Chattanooga, and wouldn’t be subject to the proposed tariffs from the Trump administration.
But Audi and Porsche vehicles are assembled in other countries, such as Europe and Mexico.
VW’s Chattanooga facility produces the Atlas SUV and ID.4 electric vehicles, and formerly built the Passat in Chattanooga.
German daily newspaper Handelsblatt says that both Audi and Porsche divisions could benefit from vehicle production of some products to the Chattanooga site as a way to avoid the tariffs.
Handelsblatt reported that it had several sources within Volkswagen.
