Audi plans production overhaul; Q8 E-tron output may move to Mexico, China

Audi plans to reorganize its global production network to reduce overcapacity in a move that threatens its factory in Brussels.

The Volkswagen Group premium brand is considering shifting output of the Q8 E-tron all-electric SUV currently built in the Belgian factory to Mexico and China, according to Automotive News Europe sister publication Automobilwoche.

The reorganization could leave Brussels without a vehicle to produce. Audi was supposed to use the factory for overflow production of the Q4 E-Tron built in Zwickau, Germany, but this has not happened because of the weakening EV market.

Workers at the Brussels factory staged a short strike in October over fears for the plant's future.
 

Under a production overhaul planned by new CEO Gernot Doellner, Audi would move production of the Q8 E-tron to VW's plant in Puebla, Mexico, which has extra capacity. Audi's own factory in San Jose Chiapa is working at full capacity and last year set a production record building just under 180,000 units of the Q5 and Q5 Sportback.

Audi likely will also build the Q8 E-tron at its under-utilized factory in Changchun, China, according to sources.

In a statement, Audi said: "In close cooperation with the Volkswagen Group, we are continuously working on optimal plant occupancy for our global production network. A follow-up assignment for Brussels is currently being discussed."