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VW and partner SAIC start building $2.5B Audi plant in China

BEIJING — Volkswagen AG's China joint venture with SAIC Motor Corp has started building a $2.5 billion new energy vehicle (NEV) plant in Shanghai, which will make VW's luxury Audi brand cars, a possible first for the venture. The new plant is a key step for Audi to diversify production of its cars in the world's largest car market from its long-standing local partner, China FAW Group Corp. This shift has been delayed amid resistance from local dealers. SAIC Volkswagen said the new plant would have an annual capacity to make 300,000 cars and begin production from 2020. Audi sold 481,387 vehicles in China from January to September this year. The announcement comes the same week Tesla secured a Shanghai location for a Gigafactory battery plant to serve the Chinese market. Audi unveiled the plan to bolster ties with SAIC in late 2016. Earlier this year, the Germany luxury carmaker bought a 1 percent stake in the SAIC Volkswagen venture, paving the way for the joint venture to produce and sell Audi cars. Volkswagen currently gets a larger proportion of the proceeds from the 50-50 tie-up with SAIC than from its 40 percent stake in the venture with FAW. SAIC Volkswagen said in a statement on Friday the plant would cost 17 billion yuan ($2.5 billion) and would make VW and Skoda models as well as Audi cars. It will help VW tap China's fast-growing market for NEVs, a category comprising electric battery cars and plug-in electric hybrid vehicles. ($1 = 6.9314 Chinese yuan renminbi) Reporting by Yilei Sun and Adam JourdanRelated Video: Image Credit: Reuters Green Plants/Manufacturing Audi Volkswagen Skoda Electric Hybrid

Audi will build E-Tron Quattro in Brussels in 2018

Audi will begin assembly of the production version of the E-Tron Quattro concept crossover in Brussels, Belgium, in 2018, and the company will also build the vehicle's batteries there. Introducing its first electric CUV will be an early step in the German automaker's goal for 20 to 25 percent of US deliveries to be EVs by 2025. The E-Tron Quattro concept previewed the electric crossover's angular styling at the 2015 Frankfurt Show, and Audi was clear that production would start in early 2018. The vehicle should have ample get-up from three electric motors – one in front and two at the back – for a total output of 429 horsepower but brief jolts up to 496 hp. Audi also claimed that the 95-kWh battery could offer over 311 miles of range on the European cycle. The company already signed a deal to use battery cells from LG Chem and Samsung SDI on the final model. Some rumors suggest Audi might call the production version the Q6. The company supports that possibility in its press release by saying: "The sporty SUV will fit between the Audi Q7 and the Audi Q5 in the product portfolio." However, Audi of America president Scott Keogh hinted to Autoblog before the LA Auto Show that it could carry a different name. Audi's development of the E-Tron Quattro is an example of Volkswagen Group's strategy to take EVs more seriously. For example, improved batteries will soon boost the e-Golf's range. Further in the future, Porsche will launch a production version of its Mission E electric sedan around 2020, and VW will reportedly make an electric Phaeton at some point next decade. Related Video: AUDI PRODUCTION NETWORK: READY FOR ELECTRIC MOBILITY Premium manufacturer to produce large series of electric cars in Brussels as of 2018 New models for Martorell (Spain) and Gyor (Hungary) Audi CEO Rupert Stadler: "We are increasing our efficiency and bundling key competencies" January 20, 2016 | Ingolstadt/Brussels/Gyor/Martorell -- Audi is preparing its international production network for the mobility of the future. Large-series production of the first purely electric-driven SUV from Audi will begin at the site in Brussels in 2018. The plant will also produce its own batteries. The company will transfer production of the Audi A1 from Belgium to Martorell in Spain. The Audi Q3, which is currently produced in Spain, will be built in Gyor (Hungary) in the future. The model rotation will benefit all the sites of Audi's global production network.

2017 Audi A4 Allroad ups the Avant

Can't decide between a wagon and a crossover? Audi offers both, of course, but it will also split the difference with the new A4 Allroad Quattro. It's based on the latest A4, but offers the extra cargo space, rugged look, and increased ride height of a crossover, without the added bulk that usually goes with it. Unveiled today at the Detroit Auto Show, the new A4 Allroad starts life as an A4 Avant wagon, but features a number of upgrades that ought to appeal to the elegantly outdoorsy among us. All-wheel drive comes standard, of course, and ride height is increased by a little less than an inch. Combined with the larger wheels, that nets 1.3 inches more ground clearance for getting through snow banks and whatnot. The suspension uses a five-link setup at both ends. The rugged look is further accentuated by the flared fenders, new rear bumper, underbody guard plates, and roof rails. Otherwise it's essentially the same as the new A4 we've already seen. Motivation is provided by a range of TFSI and TDI engines ranging from 150 horsepower to 272, mated to either a six-speed manual, seven-speed dual-clutch, or eight-speed automatic transmission. That, of course, is on a global scale, with details on US pricing and availability to follow. In the meantime, you can scope out the live images from the floor of the Cobo Center in the gallery above, and the full details in the press release below. Perfect companion in any situation: the new Audi A4 allroad quattro - 34 millimeters (1.3 in) more ground clearance and "offroad" mode - Extroverted, individual design and extensive equipment - Powerful TFSI and TDI engines, quattro drive standard The new Audi A4 allroad quattro* embodies a unique concept: It combines high driving comfort with off-road qualities, thus enjoying a unique position in its segment. Thanks to the standard quattro drive and increase ground clearance, it also keeps on driving where the paved road ends. The new Audi A4 allroad quattro is defined by its individual look. The powerfully flared wheel arches and the rear bumper attract attention. They are finished in matt structure gray or painted in the body color. The robust underbody guard and the rear diffuser are finished in selenite silver. The sporty, distinctive front end with jagged headlights, unique bumper and model-specific air intakes underscores its extroverted character. Vertical chrome slats adorn the sculpted Singleframe grille.