Audi, the German carmaker and subsidiary of Volkswagen is set to unveil its plans to manufacture electric vehicles (EVs) in Mexico this month. Joining other major automakers in expanding their EV output in the country, Audi has been producing the Audi Q5, a compact SUV, in the state of Puebla since 2016, with a hybrid version added later.
According to insiders, Audi will make an official announcement regarding its EV expansion strategy on July 18 at its San Jose Chiapa plant in Puebla. The event is expected to be attended by top management from Germany and is likely to involve a significant investment. Puebla, which houses a Volkswagen auto plant and various parts suppliers, has been attracting more investments in its automotive industry, as indicated by Mexican President Andres Manuel Lopez Obrador last month. However, the exact amount of Audi’s investment remains undisclosed.
Requests for comments from Audi, as well as Puebla’s economy ministry, have gone unanswered, while Volkswagen in Mexico has declined to comment on the matter.
Both Audi and Volkswagen have previously expressed their ambitions to increase EV production on a global scale. Volkswagen announced plans last year to invest over $7 billion in North America, including funds for EV manufacturing, over the next five years. In Mexico, the company disclosed a $763 million investment to enhance the Puebla plant, including the establishment of an electric energy-powered paint division.
During a visit to Audi’s Puebla plant last year, the former Foreign Minister of Mexico, Marcelo Ebrard, expressed anticipation for increased investment from the company as Mexico continues to advance its production of eco-friendly vehicles. Discussions between Mexican officials and company executives focused on growth plans at the plant and the group’s ongoing transition toward manufacturing “exclusively fully electric cars in the future,” as stated by Audi in a previous announcement.
