Audi will resolve this 12 months whether or not it must construct a manufacturing facility in america to take full benefit of the electrical car tax subsidies contained within the Inflation Discount Act, the premium model’s CEO mentioned Thursday.

Talking from Germany throughout Audi’s annual press convention with international media, CEO Markus Duesmann mentioned the model is actively learning whether or not to develop its manufacturing footprint into the U.S. and can decide quickly.

“America is a particularly essential marketplace for us,” Duesmann instructed journalists by way of an interpreter on a web based broadcast. “We now have thought-about to develop capacities, however the determination has not been taken but.”

As for the Inflation Discount Act, Duesmann mentioned “you can not ignore it as an organization, and it needs to be a wake-up name. And the European Union even have to seek out a solution to this, but it surely should be a nonprotectionist reply. We’re actually intently observing [its impact] available in the market; it appears to be a really optimistic growth, so the selections will likely be [made] this 12 months.”

Audi plans to speculate about $45 billion over the following a number of years across the globe because it continues to transition to an completely EV lineup by 2033. Included in that funding will likely be 20 new or freshened fashions, of which 10 are EVs, Duesmann mentioned.

The model can even recast the nomenclature of its merchandise, utilizing even numbers to signify EVs and odd numbers to determine conventional combustion and plug-in hybrid automobiles.

The brand new naming construction started with the introduction of the Q8 e-tron full-size EV crossover, and adopted with the This fall e-tron and upcoming Q6 e-tron crossovers. Automobiles that at present do not match neatly into that nomenclature — comparable to the present A4 and A6 ICE-powered sedans — will keep their present names till they’re succeeded by EVs of their section, Audi executives later clarified.

In one other announcement, Audi CFO Jürgen Rittersberger mentioned the model was learning whether or not to mix Audi dealerships with its premium motorbike model Ducati in areas across the globe, together with america, to “fill holes” in its distribution system. Audi of America President Daniel Weissland clarified later that any mixture of the 2 manufacturers could be on a spot foundation the place alternatives exist and never systemwide.

In later feedback, Weissland and Hildegard Wortmann, head of gross sales for Audi AG, famous the model’s 2022 efficiency, with gross sales up considerably within the second half of the 12 months as manufacturing woes eased barely. Audi’s U.S. gross sales have been down 28 p.c within the first six months of 2022 because it handled the chip scarcity and fallout from Russia’s invasion of Ukraine, however completed up 20 p.c within the third quarter and 63 p.c within the fourth quarter, off simply 4.7 p.c at 186,875.

They mentioned the development continued into 2023, with Audi of America posting its greatest February gross sales on document. Nevertheless, the model stories its gross sales solely quarterly, so the figures weren’t out there. 

Weissland added that Audi posted document gross sales final 12 months of aftermarket merchandise, which embrace objects comparable to equipment and guarantee merchandise.

On plans to extend U.S gross sales and market share, Weissland mentioned “we’re targeted on an formidable however accountable development” within the extremely aggressive premium section.  ”And that is essential, as a result of it must be sustainable for our vendor companions and for us. We aren’t simply, for the sake of chasing numbers, punching vehicles into the market.”

Wortmann mentioned the model has rebuilt its relationship with its U.S. vendor community that deteriorated after Volkswagen Group’s diesel emissions scandal. “We have moved actually to construct again the belief, and we’re actually again into good, constructive discussions with our vendor councils and with our vendor companions,” she mentioned. “We must be dependable companions, and worthwhile companions for them [because] we have now a robust ambition to develop.”

Requested in regards to the drop in leasing and its worrying long-term affect, Weissland mentioned Audi “will be certain we keep aggressive” with leasing provides, however that the market elements which have pushed up prices proceed for all automakers. “The lease channel is a really costly channel.”