Döllner: “Now Audi It is the premium brand with the younger cars”

INGOLSTADT – Soon «we will launch a small electric car. It is a period of great general complexity and with strong internal challenges, but Audi has shown that it knows how to reinvent itself, moving from the older product portfolio to the younger one in the premium sector, where we aim to be the first brand in terms of technological progress. And within the Volkswagen group we will lead the development of the SSP platform, deeply connected to the Software defined vehicle approach». Audi CEO Gernot Döllner, whom we met at the Ingolstadt headquarters for the launch of the new Q3, is convinced that the German company has started a real “renaissance” after a particularly challenging period. And to demonstrate this he underlines the “revocation” of the stop date for the development of internal combustion engines, the launch of new models with all engines, the growth in China, the intention to produce directly in the United States and the landing in Formula 1.

You have launched a major restructuring plan with the closure of the Brussels plant and the announcement of 7,500 job cuts. Is this enough or do you think something else will be needed?

"No, I think we have taken all the necessary decisions to really relaunch Audi. The closure of Brussels was a necessary and important step, as was the agreement with the unions. We will invest 8 billion dollars in our German subsidiaries. This year our balance sheet will be affected in terms of cash flow by restructuring costs, but we will achieve a better cost position on the market. And we have still forecast a ROS (the profitability index of sales) of between 7 and 9% for 2025, without including US duties. We will see the positive effects next year."

How much do US tariffs weigh and what will your strategy be in the United States?

"Of course we have a decrease in volumes and contribution margin, but we do not intend to change current prices. At the same time, we are planning to bring production to North America with the construction of a new plant. But it is a strategic decision, not linked to the tariff situation or the Trump Administration that will expire in three years, because if you want to be successful in the United States, you need to have local production on the ground."

The new Q3 is the latest in a series of models you are launching. Where do you want to go?

"In March last year, with the launch of the Q6 e-tron, we started a program that includes 20 new models by mid-2026 with three different drive types, including e-hybrid. In 2023, we had the oldest product portfolio in the premium segment. By the end of this year, we will have the youngest."

How is the joint venture with Rivian going?

"The partnership with Rivian will give rise to C-segment models (D in Italy, ed.) starting in 2028. We are creating the SSP platform together, deeply connected to the Software defined vehicle approach. And, within the Volkswagen group, Audi will lead its development."

What are the main segments for Audi?

"Our core segments range from the A3 to the A8, from the Q3 to the Q7. And soon we will launch an electric A-segment car as the entry-level vehicle in our portfolio, which will be produced here in Ingolstadt, the heart of Audi. The A1 and Q2, however, will not have successors with internal combustion engines."

How is the relaunch going in China?

"We have made huge progress. In the north, with our partner Faw, we have started the production of PPE-based models such as the Q6L e-tron and the A6L e-tron. At the same time, we have created the new AUDI brand, the four-letter brand together with Saic, and in September the first series-production car, the E5 Sportback, will be coming to the market."

Are you thinking of developing range-extender technology?

"No. We are in a technologically solid position and are actually evaluating the introduction of a plug-in hybrid in China."

Do you confirm the decision to stop the production and development of cars with internal combustion engines?

“I was not the one to announce an end of production date. I believe very much in technological flexibility and the ability to listen to market demands. And since the market is constantly changing, I don’t see the need to set expiration dates for the use of a specific technology. We will soon launch new vehicles with internal combustion engines and plug-in hybrids, including high-performance ones like the RS range. We will continue to maintain a broad technology portfolio over the next 7-10 years while monitoring the development of the markets. We have already decided to extend production beyond the dates communicated in the past. In the long term, electric vehicles will certainly be dominant worldwide. But that is not the case yet.”

Audi was once Germany's largest premium brand. Are you aiming to reclaim the top spot?

"Our goal is not to be the largest premium brand in terms of volume. But we want to be the largest in terms of technological progress and in terms of quality."

How do you see the Audi challenge in F1?

"F1 is a long-term investment from which we want to capitalize on the performances developed by the team in terms of efficiency of electric motors, especially with next year's regulations. And of course it will inspire us to develop new models."