Audi will build its first-ever U.S. factory in Macon, Georgia, President Trump announced at a campaign rally in nearby Perry on Saturday, according to The Wall Street Journal. Until now, Audi was the only German auto brand without a US plant. "I'm thrilled to announce a massive auto manufacturing investment in the great state of Georgia," Trump told the crowd. According to Reuters, the roughly $4 billion plant is expected to produce 200,000 SUVs a year, including the Q7, Q8 and Q9, and create about 4,500 jobs. Construction begins next year, with production expected in the early 2030s, though Volkswagen's supervisory board still has to give final approval.

The deal comes as Audi struggles. It imports every vehicle it sells in the US from Europe or Mexico, and Trump's tariffs cost the company about $1.4 billion last year. The WSJ notes that the automaker is turning to American buyers as sales slow elsewhere. Audi CEO Gernot Doellner, who joined Trump on stage, said the plan followed "many months of careful planning and intense negotiations" and that "if the American president invites you, you accept the invitation." He declined to say whether the deal includes tariff relief. The announcement also lands days before the midterms, with Georgia hosting competitive races for Senate and governor.

Reaction in Germany was mixed, where Volkswagen workers face job cuts and possible plant closures. A spokesperson for the IG Metall union called the decision to appear with Trump during an election "hard to understand." Union leader Christiane Benner said a US plant was "right and necessary" but called for firm job protections at German sites. A US official told Reuters that Audi also plans to build 25,000 vehicles a year at Volkswagen's Scout Motors plant under construction in South Carolina.