Audi Cuts Forecast, Bets On Georgia Plant

Audi lowered its full-year revenue outlook to 59 billion euros on Friday after a 87 percent cut to its third-quarter earnings forecast. The reduction is the second of 2026 and leaves the company 4 billion euros below its prior projection. Audi reported a 87 million euro profit for the quarter on revenue of 59 billion euros.

The first point to note is the reporting period. Audi's foreign sales fell by 20 percent in the third quarter. Chief financial officer Jürgen Rittersberger said in a statement that "Enormous pressure to act at Audi will wait for no one." The decline follows a 5.86 billion euro third-quarter loss at parent company Volkswagen, which is seeking 31 billion euros in cost savings.

The second point is the US expansion. Audi announced a 4 billion euro plant in Georgia that will create 4,500 jobs and produce up to 200,000 SUVs a year from 2030. The company described the investment as the largest in Georgia's history. President Donald Trump took credit for the project and linked it to his administration's tariff regime.

The third point is the internal reaction. Audi board managers discussed the company's direction at a meeting Friday. IG Metall, Germany's metalworkers union, criticized chief executive Gernot Döllner for appearing beside Trump during an election campaign in Georgia. The union called the appearance a "flagrant breach of his own company's rules, which expressly require political neutrality in the run-up to elections." Audi's US subsidiary said the appearance was cleared with Ingolstadt and that Döllner "accepted this invitation solely with Audi's best interests in mind."

Audi's position in China has weakened as domestic Chinese carmakers expand into Europe. The company's third-quarter figures reflect that shift. Volkswagen reported a 5.86 billion euro loss for the same period. The Wall Street Journal reported Friday that tariffs will be eased for car companies that commit to manufacturing in the United States.

Döllner, 57, joined Trump in Georgia this week to announce the plant. He has led Audi's US operations. The plant is scheduled to begin production in 2030.