Audi likely to delay early 2009 decision on US production
Over the past year, Volkswagen and Audi have set some remarkably aggressive goals for the US market, including the pronouncement that Audi would double its sales in the States to 200,000 units by 2015. Audi has fared well in 2008, even managing a slight sales increase in October while virtually every other automaker saw double-digit declines. However, holding your own in such a market is not a good way to double sales. Part of the the plan for multiplying its volume included building Audi's in the US, either in cooperation with parent Volkswagen or all by its lonesome. But without financial recovery in sight, CEO Rupert Stadler is justifiably hedging on whether the four-ring brand will make a production decision in early '09. The 200,000 annual sales target is also looking far less likely for 2015. Stadler has said the company will know in a year or two if its sales target is still feasible.
[Source: Automotive News - Sub. Req.]
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Reader Comments (Page 1 of 2)
James 8:12AM (12/02/2008)
I'm not really sure what the reason is for Audi's ability to weather the storm (so far), but I like their new "nonconformist luxury" ad campaign.
I still want one of them new 2009 A3s with those cool new xenon headlights!
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Kumar 10:24AM (12/02/2008)
Hopefully (yet doubtful), this will mean the inclusion of sensible diesels throughout the range. I mean 4 cylinder, not 6 or 8 monsters that go against the purpose for many that are looking for frugal luxury cars.
Yeah, may sound odd, but I'd like a ride like the A3 or A4 avant with a small diesel in it. Will probably end up with a Subie diesel and save some cash too.
zamafir 10:43AM (12/02/2008)
Don't hold your breath on the Audi 2.0TDi's just yet. Especially when cars like the Q5 get almost 40mpg (WITH quattro) and hit sixty under 7 seconds while providing a best in class package (James, that's why they're doing well, go drive a B8 A4 on the road or track vs it's competition and you'll get it). I for one can't wait for the 3.0TDi to filter it's way through Audi's lineup and it makes sense for them to offer it, Americans are slowly warming up to diesel, and while a
John N℮ff 8:28AM (12/02/2008)
This is a shame. US could use some jobs and industrial stimulus right now.
This is ideal time to build factory as the costs won't be as high as in boom times. What is wrong with Audi?
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rsfourever 10:00AM (12/02/2008)
what is "wrong" with audi is that they don't want to begin over-producing for the United States just as the market is beginning to shrink. it's called be sensible. maybe that's one of the reasons why they're the only automaker in the world coming out with increased sales in the current economy...
JSAMS4131 11:58AM (12/02/2008)
Indeed a shame, I love the way audi is going with their commitment to develop a power plant that is going to be the future of efficient performance (while still having the sound of a real engine and not an electric motor)..not saying electrics arent practical I'd love to have one for my short commutes everyday, would save me a small fortune.
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Suburban Collection 2:21AM (12/09/2008)
Suburban collection - Detoit's largets car dealership has an interesting blog on tough times in Michigan:
http://www.suburbancollection.com/blogs.asp
Follow the blog here:
http://www.blogger.com/follow-blog.g?blogID=1768245840695356684
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Hugh G 10:20AM (12/02/2008)
Can somebody explain why Audi is able to keep sales up while everybody is dropping off? What is so great about an Audi? Are they having really big discounts or something? I mean, come on, most people would rather have a BMW, Lexus, Infinito, or Caddi than an Audi, right?
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TORONTO 10:29AM (12/02/2008)
Count me out... I'd rather have the Audi.
rsfourever 10:33AM (12/02/2008)
well, one of the reasons is that Audi makes amazing cars. that starts it off. second is that Audi has an image which is not showy, like bmw, lexus, infiniti, and cadillac, the marques you mentioned, but is subdued class. it is for people who want nice, fancy cars, but don't want to scream and yell to everyone that they have a nice, fancy car. in europe, that has been the majority for a long time, and audi has been the best selling luxury car in germany and france for many years now. in america, i guess it's beginning to become like that as well, as maybe the credit crunch has encouraged some people who still have money not to be as showy about it as before.
and frankly, i for one who pick an audi over any Lexus, Infiniti Cadillac or mercedes in the same level. Lexus entirely lacks any excitement in the driving (it's like a big couch on wheels). mercedes doesn't offer manuals in any of their legit cars (only the SLK280 and C300 have it). infiniti's only noteworthy car is the G35/37 - the coupe is butt ugly (the old one was much nicer), and the sedan, while good looking and a good driver, is not up to snuff when compared to an A4. As for BMW, though they still produce some amazing performers, their design has gone so far downhill that it's plainly disapointing, and sometimes just hard to look at (though the M3 does look nice, i must admit). and cadillac currently only has the CTS which is worth any talk, and it's a nice car, but i still prefer an A4 or even A6 over that, even though it's probably the closest competitor that i would seriously think of buying...
zamafir 10:47AM (12/02/2008)
Unlike all the brands you've mentioned Audi is getting consistently better with every model revision. You don't have people complaining their cars are getting softer, as you do in every review of the M3. You don't have their cars getting needlessly heaiver, like say the M3 or 3 series, instead Audi's focusing on continuing to lighten their cars, which is why their bread and butter model - the A4 - provides the most space, fastest acceleration and more fuel efficiency than it's competitors.
Audi doesn't trade solely on their badge, instead they focus on improving their entire range with every new model revision and reading any review of any of their new models will highlight that progress.
Alex Smith 1:23PM (12/02/2008)
Hell No, I bought an Audi S5 over all of the competition out there. Until you've owned one or attended the Audi Driving Experience on a track and actually compared them, you'll never understand. Audis are beautifully made cars and I think they are really something special in this day in age...
Hugh G 10:33AM (12/02/2008)
Toronto, what Audi would you rather have than say a BMW M3 or Caddi CTS-V?
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TORONTO 10:53AM (12/02/2008)
See... it's not all about performance.....
I think one of the reasons Audi does so well is because of the broad variety..... I say I would rather have an Audi because it has everything I like .. Wagon, AWD, Manual, fuel efficient, and still far better looking than any BMW... sorry (I loved BMW until the new styling).
TigerMil 10:55AM (12/02/2008)
I own an E46 M3 convertible I bought after buying my wife's 4.2A6 A6. I just bought an S6 Audi that I enjoy far more than the M3 (except when I put the top down).
IF Audi made an S8 convertible I'd trade them all in for it. OK, the Bentley convertible is still silly money, but I can see it in the distance....
aliasfox 11:07AM (12/02/2008)
Hugh G -
CTS-V and M3 aren't their big sellers - the bread and butter from these brands all come from the $30k-40k class. These are essentially halo cars, "this is what this brand can do." The biggest sellers for these brands are likely:
- 328i
- A4 2.0T
- CTS 3.6DI
- Infiniti G sedan
- Lexus ES350
- Benz C300
As much as we like to play with big horsepower, the average person doesn't need it or care to pay for it. And in this category, the A4 2.0T is just as fast as some of the more powerful cars (normal street driving, where torque helps a lot), more fuel efficient than the more powerful cars (have you seen the EPA figures for the Cadillac and the Infiniti?), and nicer inside than an entry level BMW. Throw Quattro into the mix and you have quite a compelling product.
I've driven all of the above, and while I found some of them quite nice, they all had something that turned me off - be it fuel efficiency, size, or interior cheapness (lookin' at you, 328i...). The A4 had the least concerns.
Another potential reason for the sales increase this past year is because Audi's bread and butter is still fairly new, from the A4 to the TT to the Q7, whereas the BMW line's been out for a few years, and Mercedes hasn't been able to make a splash with the new C class...
Alex Smith 1:24PM (12/02/2008)
That's easy, the Audi R8, RS6, RS4, and especially the soon to be released Audi RS5. The M3 and C63 have much to worry about with the RS5 coming out within the next couple of months. Wait and see...
ken 10:33AM (12/02/2008)
Audi has much more beautiful cars than BMW, and Lexus. As a formal bimmer owner, I wouldn't drive a bimmer anymore for 2 reasons. 1) the new ugly interior with the camel like hump back dash 2) it's a me-too car, almost everyone has it here on the west side of LA. 3 reasons for Lexus, 1) it's a me-3 me-4 car, 2) they have no soul! 3) look who is driving it, usually are old rich women, not necessary in that order. As far as Caddi, I like the CTS a lot, I will take the new CTS, great design inside out. Love it. Audi has a great lease promotion right now, but I don't see a lot of discounts from Audi but up to each individual dealership, I got my A4 at a awesome price not long ago. I was thinking about leasing it, but the price was so good, I bought it instead.
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TigerMil 10:57AM (12/02/2008)
True dat...I won't buy a new M3 V8 because.
OTOH, if they had stuffed the V8 into the old E46 series...I would have bought two!
ken 11:04AM (12/02/2008)
E46 was what I had........I liked it a lot. I even like the new bimmer 3 exterior (only the 3), then Chris Bangle had to bastardize the interior with the fugly mid hump and supper comfusing i-Drive..........byebye bimmer for me.