Audi has declared an outright stoppage of car shipments to the United States beginning July 7, due to President Donald Trump’s imposition of a 25% extra duty. This move follows shortly after the Trump administration officially imposed significant duties on incoming vehicles. As part of this strategy, Audi intends to cease delivering newly arrived automobiles to dealerships and instead concentrate on clearing out their current stockpile.
Audi's statement represents the second export cessation announcement to the U.S. made by a European carmaker, after the UK-based Jaguar Land Rover (JLR) did so. As reported by a German media source, this development highlights an ongoing trend. Der Spiegel indicates that Audi's U.S. unit is meticulously assessing the effect of the extra duties while keeping in mind the well-being of its clients and retailers.
Based on data from the market research firm MarkLines, Audi managed to sell around 200,000 units in the U.S. during 2024. As they do not have an assembly plant within the country, every vehicle was brought in from manufacturing facilities located in Mexico, Germany, and Hungary. Currently, Audi has a supply of 37,000 cars stored in the U.S., which amounts to roughly two months’ worth of sales. These stocks were acquired prior to April 2 and will be distributed at their current pricing, exempting them from additional tariff charges.
The Volkswagen Group is said to be considering expanding its passenger vehicle manufacturing plant in Tennessee with the aim of assembling cars for Audi as well as other brand names.