Audi launches a $30.4 billion five year investment project

Audi has just launched a $30.4 billion five year investment project.

The company stated that the investment will be used for the development of new car models, technologies, and to expand its worldwide production network.

Over fifty percent of the investment will be going to the Ingolstadt and Neckarsulm Audi production sites in Germany – making it one of the biggest investments in company history.

Axel Strotbek, Member of the Board of Management of AUDI AG for Finance and Organization, said:

“With this investment program we are launching our next stage of growth. In the future, we will be investing increasingly in new products: 70 percent is intended for the modernization and expansion of the model range and for our portfolio of technologies.”

 

Audi says that it wants to increase its number of models from 49 (now) to 60 in 2020 and develop next-gen fuel efficient engines.

The first Audi factory in North America is going to be built in San José Chiapa, Mexico to meet U.S. demand – where Audi plans to produce the Q5 (SUV). In addition, there are plans to start producing cars in Brazil again in 2015 in São José dos Pinhais.

The company will also be inject ingmore money into Győr, its engine manufacturing site in Hungaria.

Audi is the luxury car unit of Volkswagen. According to The New York Times, Audi accounts for 40 percent of the profit of its parent company. Sales for Audi have been strong this year (of around around 1.5 million).