Audi plans $17bn capex programme
Ingolstadt, January 2, 2013
The Audi Group plans on investing 13 billion euros ($17.15 billion) through 2016 in its capital-expenditure (capex) programme, maintaining its course for growth as per its Strategy 2020.
Expenditures will primarily address the development of new products and technologies as well as the construction of new plants. Nearly 8 billion euros will be invested in the German sites of Ingolstadt and Neckarsulm.
“We will keep investing large sums to pursue our growth strategy,” said Axel Strotbek, member of the Board of Management for Finance and Organization at Audi.
He added that the Group wants to spend more than 2 billion euros every year on new products and technologies.
All in all, more than 10.5 billion euros is to be allocated through 2016 to modernizing and expanding Audi’s portfolio of products as well as financing core areas of expertise such as lightweight design/construction and electric mobility. Conventional powertrains are to be rendered even more efficient.
Nearly 8 billion euros has been earmarked just for the German sites of Ingolstadt and Neckarsulm in the next five years. In addition, expansion of the site in Gyor, Hungary will be completed in 2013.
Audi is building a body-manufacturing shop, a paint shop and a press shop in Gyor. The Group is expanding capacities in China, as well.
Automobiles with the four rings are expected to begin rolling off the assembly line in Foshan, China in early 2014. Moreover, a plant in San José Chiapa, Mexico is scheduled to start producing Audis by 2016.
“The expansion of our global manufacturing infrastructure will help us to continue growing,” says CFO Strotbek.
Audi wants to sell more than two million vehicles annually by 2020 to become the perennial Number One premium brand in the world, he added. – TradeArabia News Service