When tariffs were introduced to bring manufacturing back to the U.S., few expected electric vehicles (EVs) to steal the spotlight.
But that’s exactly what’s happening.
Big-name automakers are now rethinking their strategies — not just to avoid tariffs but also to jump on the EV wave sweeping the country.
One of the latest to join this shift?
Audi, the luxury brand under Volkswagen Group, which is now considering building more of its vehicles right here in the U.S.
Audi Eyes American Soil for Future SUV and Crossover Production
Audi has mostly produced its vehicles overseas — in countries like Hungary, China, and Mexico.
But that’s about to change.
The company recently confirmed it’s exploring options to manufacture some of its SUVs and crossovers in the United States.
“We want to localize more strongly in the USA,” adding that discussions with Volkswagen Group are underway and a decision is expected before the end of the year.
This move isn’t just about strategy — it’s also about speed.
Audi is planning to roll out 10 new models in the U.S., with more details to come in 2026.
Chattanooga Leads the Race for Audi’s New U.S. Plant
According to insiders, Audi is considering three locations, but the frontrunner seems to be Chattanooga, Tennessee.
Volkswagen already runs a plant there, producing the ID.4 electric crossover — which happens to share a platform with the Audi Q4 E-tron.
That means Audi could potentially start producing EVs there without needing to build a brand-new factory from scratch.
This setup would allow the brand to quickly ramp up U.S.-based EV production.
Other Plant Possibilities Include South Carolina and a Mystery Site
South Carolina is also on the table, where Volkswagen is building a new facility for its upcoming Scout Motors line of electric pickups and SUVs.
The third potential site hasn’t been disclosed yet, and Audi has yet to comment on it.
Wherever they choose, the goal is clear: make more cars in the U.S. to avoid tariffs and build a more resilient domestic supply chain.
Trump’s Trade Policies Are Quietly Fueling the EV Surge
Interestingly, all of this movement is happening under policies put in place by President Donald Trump — a figure who has publicly criticized EVs, even as his trade moves are helping bring EV production to America.
His 25% tariffs have created a strong incentive for global automakers to move manufacturing stateside.
While the messaging may clash with the reality, the results are aligning with the White House’s broader economic goals.
Other Car Brands Are Following Suit
Audi isn’t the only company reacting to the new landscape.
Hyundai is ramping up production of its Ioniq electric series in Georgia.
Honda is planning to continue building its Civic Hybrid in Indiana.
Even new startups are feeling the pull of domestic manufacturing.
Jeremy Snyder, chief commercial officer at the new EV brand Slate, says U.S. production isn’t just smart — it’s essential.
New EV Startups See the U.S. as the Obvious Choice
“For any new EV company, building in the U.S. is a no-brainer,” Snyder said.
“The real hurdles today are education and charging infrastructure — and those are getting better every day.”
He added that the EV experience is simply more convenient for drivers: “You park, plug in, and wake up to a full battery every morning.”
What’s Next?
With traditional automakers and startups now investing more in U.S.-based EV production, the industry is clearly shifting.
What started as a trade war tactic may have accidentally accelerated the American EV revolution.