Audi faces a new phase of adjustments within the profound restructuring undertaken by the Volkswagen group. The German manufacturer will have to contribute to the new job cuts announced by its parent company, while also seeking to reduce costs, respond to the pressure from Chinese manufacturers, and limit the blow that U.S. tariffs are causing to its business.
In parallel, Spain appears in the industrial plans that the group is studying for its next generation of electric vehicles. Volkswagen is weighing assigning Barcelona the manufacturing of a new electric Audi positioned below the newly launched A2 e-tron, although for now there is no announced decision and the president of Audi, Gernot Döllner, has avoided publicly confirming the project.
The possibility comes after Martorell has stopped manufacturing precisely one of Audi's entry-level models. The production of the A1, assembled at the Spanish plant, has been phased out during 2026 as part of the brand's range reorganization. Audi has also ended the Q2, as part of a strategy to concentrate its catalog and reduce complexity.
Audi will have to take on part of Volkswagen's new adjustment
The starting point is Volkswagen's new plan. The group announced at the beginning of September another 50,000 job cuts by 2030, approximately half in Germany and the other half in the rest of Europe. These adjustments are in addition to the around 50,000 positions whose elimination had already been proposed since the end of 2024, so the planned reduction amounts to about 100,000 jobs in total by the end of the decade.
The plan is part of a broader transformation. Volkswagen aims to progressively reduce its model range by up to 50% and lower the complexity of its offering by up to 75%, concentrating investments in the products and technologies it considers most profitable.
Audi will not remain on the sidelines. "Audi is an integral part of the Volkswagen group and will have to do its part," Döllner has stated when asked about the new adjustments. The executive recalls that the brand already began its own transformation three years ago and has made decisions such as removing the A1 and Q2 from its catalog.
What is still not publicly defined is how many of those 50,000 additional cuts will specifically correspond to Audi. The group has set the general horizon until 2030, but has not published a definitive distribution by brands that allows attributing a specific figure to Audi.
The pressure on German factories also continues. In Neckarsulm, one of Audi's two major plants in Germany, there is currently no new model assigned beyond 2034. Döllner has pointed out that the company will have to review the situation of the factory and work with the workers' representatives to seek measures that allow optimizing it.
The U.S. tariffs cost Audi 1.3 billion
To the need to reduce costs is added the impact of U.S. trade policy. Döllner estimates that 1.3 billion euros is the blow suffered by Audi in 2025 as a consequence of the tariffs from the United States.
Audi's industrial structure makes it especially vulnerable. The Q5, one of its most important models in the U.S. market, is manufactured in Mexico and, according to Döllner, bears a tariff of 27.5%. The cars that the company imports from Europe are subject to a levy of 15%.
The effect is also seen in sales. Audi delivered 727,245 vehicles worldwide during the first half of 2026, a 7% decrease, and the company identifies the main causes as strong competition in China and U.S. tariffs. In North America, excluding Mexico, deliveries fell from 98,712 to 82,187 units.
The response could involve manufacturing directly in the United States. Audi is considering using some of the plants that Volkswagen already owns in the country or even building a new factory. Döllner maintains that local production would reduce both exposure to tariffs and the risk arising from exchange rate fluctuations.
A new electric Audi could arrive in Barcelona
While reorganizing its structure in Germany and analyzing a greater industrial presence in the United States, Volkswagen is also studying what to do with its Spanish factories. And there appears a particularly relevant possibility for Martorell.
The group is considering manufacturing a future smaller electric Audi than the A2 e-tron in Barcelona, according to what has leaked from the plans the company is handling. Döllner, however, has not wanted to validate that possibility and has refused to comment "on speculations." Therefore, there is currently no confirmed allocation of the model to the Spanish plant.
The eventual vehicle would occupy a lower tier than the new A2 e-tron, which Audi has just incorporated as its entry-level electric model. That car does have a confirmed factory: it is produced in Ingolstadt, Germany, and the first deliveries are scheduled for December 2026. Audi markets it in Germany starting at 38,200 euros and announces a maximum range of 646 kilometers under the WLTP cycle.
Martorell arrives at this negotiation after precisely losing the Audi A1. The brand had manufactured that model there until its withdrawal, while Volkswagen has prepared the plant for a new stage focused on small electric vehicles from other brands in the group.
Spain gains weight in Volkswagen's electric map
The eventual arrival of another Audi would reinforce the role that Spain is acquiring within the group's electrification. Volkswagen has mobilized along with its industrial partners and the administrations around 10 billion euros linked to the Future: Fast Forward project, which includes the transformation of Spanish production and the battery cell factory in Sagunto.
Martorell has already started the production of Volkswagen ID. Polo and Cupra Raval, while the Navarra plant incorporates other electric vehicles from the group. This specialization makes Spain one of the hubs from which Volkswagen can manufacture small electric vehicles in Europe.
For Audi, a model positioned below the A2 e-tron would also mean delving into a segment that had lost weight within its range after the disappearance of the A1 and the Q2. Döllner has argued that Europe needs compact and efficient electric vehicles in the face of a Chinese competition that is rapidly increasing its presence in those segments.