
Audi is a wholly-owned brand of Volkswagen Group (FWB: VOW3), a publicly traded German multinational automotive corporation headquartered in Wolfsburg, Germany. Volkswagen acquired a controlling stake in Audi's predecessor, Auto Union, in 1965 and revived the Audi name as its premium division. Audi is headquartered in Ingolstadt, Bavaria, Germany, and sells approximately 1.9 million vehicles annually across more than 100 markets worldwide.
Parent Company
Acquired
1965
Status
Publicly Traded
Headquarters
| Brand | Parent Company | Ownership Type |
|---|---|---|
| Audi | Volkswagen Group | Wholly owned |
August Horch founded his first automobile company in 1899 in Cologne, Germany. After a dispute with the board, he left in 1909 and established a second company in Zwickau, Saxony. He again chose to use his name for the new brand, but was legally prohibited from doing so. Horch's surname means "listen" in German; the Latin equivalent is "audi." The company was registered as Audiwerke GmbH Zwickau on July 16, 1909.
In 1932, Audi merged with three other Saxony automakers, DKW, Horch, and Wanderer, to form Auto Union AG. The four-ring logo was created to represent the four founding companies. Auto Union entered pre-war Grand Prix racing with mid-engine, rear-wheel-drive race cars that competed against Mercedes-Benz for dominance on European circuits from 1934 to 1939.
After World War II, the Saxony factories were nationalized by the Soviet-backed East German government. Former Auto Union personnel relocated to West Germany and reestablished operations in Ingolstadt, Bavaria. The reconstituted company initially produced DKW two-stroke vehicles. Financial difficulties through the 1950s led to Daimler-Benz acquiring a stake, and then to Volkswagen acquiring a majority stake in 1965.
Under Volkswagen ownership, the Audi brand was revived for a new range of four-stroke vehicles beginning with the Audi 60 in 1965. The company merged with NSU Motorenwerke AG in 1969 to acquire the Wankel rotary engine technology NSU had developed. The combined entity was renamed AUDI AG in 1985.
The 1980 introduction of the quattro all-wheel drive system was the defining technological moment for modern Audi. The original Audi Quattro coupe used a turbocharged five-cylinder engine and permanent all-wheel drive. It won the World Rally Championship manufacturers' title in 1982 and 1984, generating the motorsport credibility that Audi used to market quattro technology across its entire lineup. By the late 1980s, quattro was available on nearly every Audi model.
Through the 1990s, Audi introduced the Audi Space Frame (ASF), an aluminum-intensive body structure used first on the A8 luxury sedan in 1994. The A8 was the first mass-produced aluminum-bodied car. Audi also dominated Le Mans prototype racing from 2000 onward, with the R8 and R10 TDI race cars winning the 24 Hours of Le Mans race twelve times between 2000 and 2014.
In 2018, Audi's former CEO Rupert Stadler was arrested in connection with the Volkswagen Group diesel emissions scandal, the most serious corporate controversy in the brand's history. By 2024, Audi had completed its legal settlements related to Dieselgate and refocused its product strategy on battery-electric vehicles. The brand launched the e-tron SUV in 2018, the e-tron GT grand tourer in 2021, and the Q6 e-tron and A6 e-tron in 2024. As of June 2026, Audi has committed to selling only battery-electric vehicles in new model introductions globally from 2026, with combustion-engine models continuing in production until 2033.
What does Volkswagen Group own?
Volkswagen Group owns twelve automotive and commercial vehicle brands: Volkswagen, Skoda, SEAT, CUPRA, Audi, Porsche, Lamborghini, Bentley, Bugatti, MAN, Scania, and Volkswagen Commercial Vehicles. The group also owns Ducati, the Italian motorcycle manufacturer. Porsche AG is a separately listed subsidiary in which Volkswagen AG retains a 75 percent stake.
Is Volkswagen Group publicly traded?
Yes, Volkswagen AG is listed on the Frankfurt Stock Exchange with ordinary shares (VOW) and preferred shares (VOW3). Despite being publicly listed, effective voting control rests with Porsche Automobil Holding SE, the Porsche and Piech family holding company, which holds approximately 53 percent of ordinary shares. The State of Lower Saxony holds approximately 20 percent of ordinary shares and has a statutory blocking minority.
Who founded Volkswagen?
Volkswagen was founded in 1937 by the German Labour Front, a Nazi-era organization, with Ferdinand Porsche as chief engineer. The original purpose was to produce an affordable people's car for German workers. After World War II, the factory was transferred to the West German government. The modern Volkswagen Group was built through decades of acquisitions under subsequent management, particularly under Ferdinand Piech's leadership in the 1990s and 2000s.
Where is Volkswagen Group headquartered?
Volkswagen Group is headquartered in Wolfsburg, Lower Saxony, Germany. Wolfsburg was founded as a purpose-built city to house the Volkswagen factory and workers in 1938. The city's economy remains closely tied to Volkswagen. The group also maintains significant administrative operations in other German cities and operates manufacturing facilities in more than 20 countries.
How many vehicles did Volkswagen Group sell in 2025?
Volkswagen Group delivered 8,983,900 vehicles worldwide in FY2025, down 0.5 percent from 9,026,681 in FY2024. Of these, 983,120 were all-electric vehicles (BEVs), up 32 percent from 744,571 in FY2024. The group delivered vehicles across twelve brands, with Skoda (up 12.7 percent) and SEAT/CUPRA (up 5.0 percent) as the growth brands, while Porsche (down 10.1 percent) and Audi (down 2.9 percent) saw declines.
Who owns Volkswagen Group?
Porsche Automobil Holding SE, the Porsche and Piech family holding company, holds approximately 53 percent of Volkswagen AG's ordinary shares and therefore effective voting control. The State of Lower Saxony holds approximately 20 percent of ordinary shares and has a statutory blocking minority under the VW Law. The remaining shares are held by institutional investors and public shareholders. Qatar Investment Authority is also a significant shareholder.
What is Volkswagen Group's financial performance?
For FY2025, Volkswagen Group reported sales revenue of EUR 321.9 billion (roughly flat versus EUR 324.7 billion in FY2024) and an operating result of EUR 8.9 billion (down 53 percent from EUR 19.1 billion). The operating margin was 2.8 percent, down from 5.9 percent. Earnings after tax were EUR 6.9 billion, down from EUR 12.4 billion. In Q1 2026, sales revenue was EUR 75.7 billion (down 2 percent) and the operating result was EUR 2.5 billion (down 14.3 percent), with an operating margin of 3.3 percent.
Audi's sustainability program is documented in its annual sustainability reports and cross-referenced in Volkswagen Group's regulatory filings.
All four Audi production plants, Ingolstadt, Neckarsulm, Gyor, and San Jose Chiapa, achieved certified carbon-neutral production status as of January 1, 2025. Carbon neutrality here covers Scope 1 (direct emissions) and Scope 2 (purchased energy) emissions, with residual emissions offset through certified carbon credits. External auditors verified the status.
The Aluminum Closed Loop program, operating since 2017, returns aluminum sheet offcuts from Audi's press shops directly to aluminum suppliers for remelting into equivalent-quality sheet. Audi reports that this loop, which operates at facilities in Ingolstadt, Neckarsulm, Gyor, and Munchsmunster, avoids approximately 500,000 metric tons of CO2-equivalent annually, as recycled aluminum requires approximately 95% less energy than primary production.
The Gyor plant in Hungary has operated on 100% geothermal thermal energy since 2015, covering more than 95% of the site's heating and cooling requirements. A 12-megawatt solar array on site supplements electrical supply.
Audi's Mission:Zero program targets four areas: decarbonization, water, biodiversity, and resource efficiency. The brand conducts vehicle Life Cycle Assessments following ISO 14040 and ISO 14044 standards and publishes the results.
Audi does not hold B Corp certification. The sustainability claims above are derived from Audi's published Impact Statements and Volkswagen Group's sustainability disclosures, not from brand marketing materials.
The MotorWeek Drivers' Choice Awards for 2026 named the Audi A5 as Best Luxury Car and the Audi S3 as Best Sport Sedan. These are independently judged awards from MotorWeek, the longest-running automotive TV program in the United States.
The 2026 World Car of the Year program named the Audi A6 e-tron/S6 e-tron and Audi A6/S6 as World Luxury Car finalists. The AUDI E5 Sportback, produced for the Chinese market under the AUDI sub-brand, won the 2026 China Car of the Year award.
Audi's Le Mans prototype racing program won the 24 Hours of Le Mans twelve times between 2000 and 2014, the most successful run in the race's modern era for any single manufacturer.
GearJunkie and Blister Gear Review have rated Audi's Aluminum Closed Loop program as among the most substantive manufacturer recycling programs in the automotive sector, based on published tonnage data.
Dieselgate Emissions Scandal (2015, ongoing settlements through 2025): Volkswagen Group, including Audi, was found to have installed software-based "defeat devices" in diesel vehicles that reduced nitrogen oxide emissions during regulatory testing but allowed them to rise to levels up to 40 times the legal limit during normal operation. The U.S. Environmental Protection Agency issued a Notice of Violation to Volkswagen on September 18, 2015. Audi's 3.0-liter V6 diesel engines were implicated alongside Volkswagen's 2.0-liter four-cylinder units.
Volkswagen Group reached a $14.7 billion settlement in the United States in 2016 covering 2.0-liter diesel vehicles, plus a separate $1 billion settlement for 3.0-liter Audi and Porsche models. Global settlements, fines, and remediation costs across all jurisdictions exceeded $30 billion. Audi's then-CEO Rupert Stadler was arrested in Munich in June 2018 and was convicted in December 2023 by a Munich court, receiving a suspended sentence and a fine of 1.1 million euros. As of June 2026, Audi has paid its settlements and is not under active criminal prosecution in connection with Dieselgate.
Belgium Plant Restructuring (2024-2025): Audi's Brussels plant, which produced the Q8 e-tron, faced production cuts beginning in 2024 as Q8 e-tron demand fell short of projections. Audi announced the closure of the Brussels facility in February 2025, affecting approximately 3,000 employees. Belgian labor unions contested the closure through legal proceedings. As of June 2026, winding-down operations are ongoing.
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