It feels like I’ve written this article several times before. Audi is the latest automaker to cast doubt on its lofty EV goals. In 2021, the Four Rings announced plans to become purely electric by 2032, pledging to launch its final combustion-engine car in 2026. Now, it’s rethinking those targets, acknowledging that the shift to EVs is taking longer than expected. The CEO made the disclosure during the conference about the 2024 sales results.
This week, Gernot Döllner declared: “With the delayed transformation towards electric mobility, we have to assess those dates and deadlines.” Audi intends to “take a look at the life of combustion engines” across the world because switching to an electric-only lineup is “going to be longer than we had originally planned for.”
Photo by: Audi
Sales figures for 2024 show demand for Audi EVs dropped by 19.5 percent to 158,343 units. The luxury brand part of the Volkswagen Group blames “a challenging overall market environment, tougher competition and significantly lower overall demand for fully electric vehicles.” However, archrival BMW begs to differ since its EV sales grew by 11.6 percent to 368,475 units. In fact, BMW outsold Mercedes and Audi combined if we’re talking strictly about electric vehicles.
Audi now says that “being flexible counts” and is preparing several new models powered by combustion engines. We’ve already seen the new A5 in liftback and wagon flavors, the Q5 and Q5 Sportback, and the A6 Avant, with the sedan to follow shortly. The next-generation Q3 compact crossover debuts this summer, while spy shots have revealed a new Q7 is in the works. It’s unclear whether those rumors about an even bigger Q9 three-row SUV will materialize, but Audi could use a proper rival for the BMW X7 and Mercedes GLS.
Audi isn’t abandoning diesel engines either, having already tweaked the TDI to meet upcoming Euro 7 regulations. However, future investments are unlikely due to declining sales. In the EU+EFTA+UK region, diesels accounted for only 10.4 percent of deliveries last year, according to numbers published by the European Automobile Manufacturers’ Association (ACEA). In its heyday, diesel had a market share of more than 50 percent in several Euro countries.
There are reports about a potential return of the R8 supercar with a plug-in hybrid V-8 system adapted from the Lamborghini Temerario. At the other end of the lineup, Audi will phase out the A1 and Q2, so its cheapest ICE models will not be renewed after the current-generation models are retired. Combined, the small hatchback and crossover generated 131,000 sales in 2024.
Döllner acknowledged that “an extension of combustion engines will have a positive impact on our business model.” That makes sense, considering EVs accounted for only 9.4 percent of total shipments in 2024. Reaching 100 percent by 2032 isn’t a realistic goal, even for the most optimistic higher-ups in Ingolstadt.
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