Inside Audi’s middle Georgia deal: How a second phase could make the project even bigger

(Editor’s note: The video above is an exclusive interview with President Donald Trump conducted last month by Atlanta News First’s Abby Kousouris at the president’s rally in Perry, Georgia.)

PEACH COUNTY, Ga. (Atlanta News First) — Audi of America’s newly finalized agreement to build a massive manufacturing plant in middle Georgia is starting as a $4 billion investment, but state economic development records show the long-term project could grow far larger.

Under the terms of the deal, Audi has the option to trigger a multi-billion-dollar second phase that would push the automaker’s total investment to $7 billion and create 7,500 direct jobs on the 1,474-acre middle Georgia mega-site.

President Donald Trump announced the Audi plant last month at a political rally in Perry, Georgia. In an exclusive interview with Atlanta News First’s Abby Kousouris, ahead of the rally, Trump said, “We have the head of Audi worldwide and he’s going to be spending billions of dollars on a new plant right about 20 minutes from here. ... It’s very exciting.”

The plant, developed with Peach, Houston and Macon-Bibb counties, will build premium SUVs for North American customers. Site grading is expected to begin in 2027, construction in 2028 and full production in 2031 at 200,000 vehicles a year.

According to state documents, phase one of the development is expected to bring $4 billion and 4,500 jobs, generating about $28 million in payroll over the first year and $1.4 billion over five years. Audi must create at least 3,600 of its phase one jobs and $3.2 billion, or 80 percent, of its $4 billion investment by Dec. 31, 2033.

Phase 2 would add another $3 billion and 3,000 jobs on top of an already operational plant, swelling annual payroll toward half a billion dollars annually.

Instead of paying traditional property taxes, Audi will receive a 20-year tax break starting around 2028. In exchange, the company agreed to make fixed yearly contributions—known as payments in lieu of taxes, or PILOTs—totaling $295 million for local communities.

If Audi expands into Phase 2, that triggers a second 20-year agreement with an additional $237.5 million in payments, guaranteeing local governments a steady stream of revenue well into the late 2050s.

That money doesn’t just stay in one place. Under a regional revenue-sharing deal, the funds will be divided across middle Georgia: Peach County receives 57%, Houston County and Macon-Bibb County each get 19%, and the City of Fort Valley gets 5%. Local leaders say that shared cash flow, paired with a potential second phase, would turn Middle Georgia into an auto manufacturing powerhouse on par with coastal mega-sites like Hyundai and Rivian.

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