Tesla is facing a number of headwinds as the company has to deal with an onslaught of Chinese competitors as well as customers who are fed up with Elon Musk. The combination has resulted in attacks in the United States as well as plummeting sales in Europe.

Amid that background, Tesla is eyeing new markets to improve its fortunes. The latest is Saudi Arabia as the company has sent out RSVPs for their opening in Riyadh.

More: Tesla Cybertruck Joins Dubai Police, Looks Terrible In White

The event takes place on April 10 and guests are invited to explore the company’s lineup and “step into a world powered by solar energy, sustained by batteries, and driven by electric vehicles.” The Cybercab and Optimus robot will apparently be in attendance, and Tesla noted employees will be on hand to answer questions about ownership, home charging, and more.  

While Tesla is a newcomer to Saudi Arabia, the company already has a presence in the Middle East. In particular, there are stores and superchargers in Israel, Jordan, Qatar, and the United Arab Emirates.

Tesla’s entrance into the market is interesting to note as Saudi Arabia’s Public Investment Fund has poured billions into Lucid. Part of this helped to fund a plant in the country, which has begun semi knocked-down assembly of the Air. However, it’s slated to become a fully fledged production facility “after the middle of the decade.”

That isn’t the only thing making the situation awkward as Reuters noted Musk was originally banking on Saudi money to take Tesla private. This led to his infamous “funding secured” tweet, which turned out to be nonsense.

The publication also noted EVs only account for 1% of sales in the oil-rich country. This suggests Tesla’s sales problems are far from over.

Audi might have decided to keep ICE alive for longer than initially expected, but that won’t affect the planned rollout of new EVs. One of them will be an entry-level model similar to the ICE-powered Audi A3, which is expected to debut next year.

The news were shared by Audi CEO Gernot Döllner during an interview with the German newspaper Süddeutsche Zeitung. Döllner described the upcoming model as “an electric vehicle in the same class as the A3”. He also revealed that the EV will be produced in Ingolstadt, starting in 2026.

More: 2025 Audi A3 TFSI e PHEV Has Up To 268 HP And 89 Miles Of Electric Range

The current generation of the Audi A3 was introduced in 2020 based on the MQB architecture and received a mid-lifecycle update in 2024. This means that the (as yet unnamed) EV that could adopt the A2 E-tron or A3 E-tron moniker will be a standalone offering that’ll be sold alongside the A3 rather than replacing it.

The timing of the launch of the compact-sized Audi makes us believe it will ride on the existing MEB architecture, which is already used by the Audi Q4 e-tron and the entire VW ID family. The new EV-dedicated SSP platform is expected to arrive in 2028 or 2029, underpinning the VW Golf Mk9 and future electric iterations of the VW T-Roc, Skoda Octavia, and Cupra Leon.

Chances are that the new Audi will adopt a five-door hatchback bodystyle which is more popular in Europe than four-door sedans. Of course, no one can rule out the possibility of a small crossover, similar to the A3 AllStreet. In any case, the EV will likely inherit the latest styling language of the Ingolstadt brand, combined with high-tech features in the cabin and competitive range figures.

More: VW ID.2 Might Have A Shot In America, But ID.1 Is ‘Highly Unlikely’

The entry-level EV could be Audi’s version of the upcoming VW ID.2 that’s also expected to arrive in production form in 2026. If this turns out to be the case, its pricing will be higher than the sub-€25k VW, in line with the more premium market positioning of the Audi brand within the VW Group.

Besides the upcoming A3-sized EV, Audi’s CEO has also revealed that the company will introduce a new model in China this April, which is being developed locally with the help of SAIC.

The German brand is currently going through a tough period due to weaker than expected EV adoption, tough competition, and political uncertainty. It recently announced plans of eliminating 7,500 jobs in Germany by 2029 in a “socially responsible” manner.

Not long after reports surfaced that the Audi R8 could return as a plug-in hybrid supercar powered by the same engine as the Lamborghini Temerario, it’s now emerged that the TT might also make a comeback. However, while the future R8 is expected to retain a traditional combustion engine, the next-generation TT will likely go fully electric. It could even become Audi’s affordable alternative to the Porsche Boxster and Cayman EVs.

More: Audi Will Keep Combustion Engines Alive Beyond 2032

Audi, like many Western automakers, is leaning heavily on its rich heritage. The original TT remains a key source of inspiration for the company’s new chief creative officer, Massimo Frascella. When asked about the possibility of resurrecting the ‘TT’ name, Audi CEO Gernot Döllner told Auto Express that it’s “thinkable,” adding, “but we have a broad view on what’s possible.”

New Sports Cars on the Horizon

Döllner confirmed that new sports cars are indeed part of Audi’s future plans. “I believe Audi should have a sports car, for sure,” he said. “That’s part of the brand DNA, and we have to find the right way, timing-wise, to integrate it into our portfolio.”

While the carmaker’s CEO didn’t confirm whether the TT would return as an EV, he did mention that an electric sports car for everyday driving would align with the brand. However, he pointed out that track-focused performance models will likely remain combustion-powered—for now.

“If you’re talking about real racing cars for the track, to me the only way until now is combustion engine or hybrid,” he noted. “But if it’s more for everyday use on normal roads, I would definitely see a transition to the electric era. Long term there will be a place for fully electric sports cars, not for the track but for crossing the Alps or having fun on a country road.”

Read: The Final Audi TT Has Rolled Off The Production Line

If Audi does indeed decide to bring back the TT and launch it as an EV, it’s likely that many of the components being developed for Porsche’s all-electric Cayman and Boxster could be shared. However, Porsche is apparently encountering issues in ensuring its electric sports cars live up to the legendary status of their ICE predecessors.

Still, if any brand can pull off a compelling electric sports car, it’s Porsche—and Audi would be wise to tap into that expertise.

Not long ago, premium German cars were seen as the epitome of luxury in China. For brands like Mercedes-Benz and Porsche, China was consistently their largest market, with sales surpassing those in any other country. However, as new homegrown brands have emerged, local preferences are beginning to shift toward Chinese companies and their offerings. Xiaomi is a perfect example of this shift.

Xiaomi, primarily known for being one China’s largest makers of electronics and consumer goods, producing everything from vacuum cleaners to computer monitors, fridges, suitcases, and smartphones. Then, the brand’s boss decided he wanted to build an electric vehicle. Unlike the billionaire founder of Dyson, who famously failed to launch an EV, Xiaomi has succeeded where others couldn’t, with its first electric vehicle, the SU7.

Read: Why Xiaomi Succeeded In Becoming An Automaker While Apple Failed

Customer deliveries of the SU7 started less than a year ago, and the company already has its sights set on the German establishment. The company aims to sell 350,000 EVs in China this year, thanks to the SU7 and the upcoming release of its Tesla Model Y competitor, the YU7. If Xiaomi can hit this target, it would surpass the combined EV sales of Volkswagen, Audi, BMW, Mercedes-Benz, and Porsche in China from last year, Handelsblatt reports.

Expanding Beyond China

It’s not just at home in China, where Xiaomi wants to grow its EV business. Earlier this month, the company’s president William Lu, revealed plans to expand into more markets. While he didn’t specify exact dates, he assured that Xiaomi would enter new regions “within the next few years.”

The arrival of the YU7 will mark a pivotal moment for the company. SUVs continue to dominate global sales, and there’s a strong chance the YU7 will outperform the SU7. Deliveries are set to begin in June or July, and the industry will be watching closely to see if Xiaomi can continue its rise.

It’s becoming increasingly clear that the automotive industry’s “electric only” dream is a work in progress. Audi, the latest brand to rethink its approach to a purely EV future, has announced that it will keep offering combustion engine models for longer than initially planned, as the market isn’t quite ready for a world of only battery-powered vehicles just yet.

More: Audi Slashing Thousands Of Jobs In Germany

During Audi’s Annual Media Conference for 2025, CEO Gernot Döllner had this to say: “As part of our product initiative, we are not only launching new electric models, but also a new generation of combustion engine vehicles and plug-in hybrids. We will manage the production of our last combustion engine vehicles depending on various developments in world markets.”

New Plans, Same Old Combustion Engines

Audi had previously said that the next-generation Q7 would be its last combustion engine model, coinciding with the end of ICE development in 2026. The plan was to keep these vehicles on the market until around 2032, at which point Audi would go fully electric. But now, Döllner has thrown a wrench into that timeline.

Following the example of competitors like BMW, Mercedes, and Volvo, Audi will delay its shift to a purely electric lineup. This move makes sense, especially when you consider that Porsche is still planning to churn out ICE models well into the 2030s.

PHEVs Are Here to Stay, For Now

At the same conference, Döllner also teased upcoming model launches for 2025: “We are in the process of rejuvenating our entire model range, and by the end of the year we will have the youngest portfolio in our market segments.”

Döllner confirmed that the new generation of the Q3 will arrive this summer, following the recent launch of the new A6 in Avant form. He also announced that a plug-in hybrid version of the A5 will debut on March 25 as one of the 10 new PHEVs set to be introduced this year. He described PHEVs as “a central part of our portfolio as we move towards an all-electric range,” suggesting that Audi will place greater emphasis on these types of powertrains.

More: Audi Wants To Climb The Luxury Ladder Without Stepping On Bentley’s Toes

In North America, Audi will launch 10 new models by the end of 2025 and is “currently assessing various scenarios for additional localization” as a way of dealing with the US administration’s new tariffs. As for the Chinese market, it has “further intensified” its product strategy with FAW and SAIC, hoping to “participate in the growth of the electric car market” as its execs believe they are already a “strong player in the combustion engine business”.

Of course, Audi isn’t delusional about the challenges ahead. CFO Jürgen Rittersberger described 2025 as a “very challenging year” for the brand, citing the “tense geopolitical and economic situation” of 2024. Still, he believes in the prospects of their renewed portfolio, as new models are now “successively reaching the markets”.

Audi and their works council have reached an agreement that aims to reduce labor costs and increase flexibility at German production sites. The automaker also said they’re extending a “job protection plan until the end of 2033.”

The company didn’t go into many specifics, but noted economic conditions are becoming “increasingly tougher,” while they’re also forced to deal with “political uncertainties” and new competition. This is a perfect storm of bad news and it’s being complicated by slower than expected electric vehicle adoption.

More: VW Confirms More Than 35,000 Job Cuts In Germany, Golf Production Moving To Mexico

Unfortunately, this means cuts but they won’t be as deep as the ones at Volkswagen. However, Audi is still planning on a “socially responsible reduction” of up to 7,500 jobs by 2029.

Aside from eliminating employees, Audi aims to reduce bureaucracy and put a renewed focus on their product portfolio. The latter has become a problem as important models, such as the Q7, have grown stale.

Audi will also “reduce personnel costs by adjusting payments above the collective wage agreement and variable payments for pay-scale employees.” The automaker didn’t spell things out, but it sounds like managers and the Board of Management will be taking a pay cut. The automaker also mentioned a retooled profit sharing program to help “future-proof” the company.

As for the so-called job protection plan, Audi will invest around €8 ($8.7 / £6.7) billion into Germany through 2029. In Ingolstadt, this will pave the way for a new entry-level EV as well as production of the redesigned Q3, which will also be built in Győr, Hungary.

Audi was tight-lipped about plans for Neckarsulm, but hinted the “electronic architecture of combustion-engine vehicles will be developed further, significantly increasing their competitiveness.” The company also said they’re examining the possibility of building an “additional model” at the plant.

Rainer Schirmer, Vice Chairman of the General Works Council, said “We were able to future-proof both sites. For Neckarsulm, this means, among other things, that we were able to secure a ‘future fund’ for plant development, which we can use to set up new production platforms – for future electric models. To this end, Neckarsulm is to be expanded as an AI and digitalization center for the entire Audi Group.”

Audi CEO Gernot Döllner said the deal was a “strong agreement for the future of the company” and one that will strengthen their competitiveness. However, he noted “Audi must become faster, more agile, and more efficient” and this “cannot be done without personnel adjustments.”

Despite confirming the needs for cuts, Döllner said there would be “no layoffs due to operational reasons until the end of 2033. In these difficult economic times, this is good news for all employees.”

While Audi didn’t go into detail, Handelsblatt is reporting the company aims to save around €1 ($1.1 / £0.8) billion annually at their German sites. They also noted the Neckarsulm plant will build “large electric sedans,” while Ingolstadt could make the A3 – presumably in electric form judging by Audi’s statement.

Speaking of production, Audi has a Trump problem as they don’t have any plants in the United States. If the trade war worsens, the four-ring brand might set up shop at Volkswagen’s Chattanooga plant.

Audi also appears to have abandoned plans to go electric-only. This is a major change as, less than a year ago, they were adamant “we will transform our product portfolio and switch completely to electric vehicles. Our customers will experience the last major world premieres of new model lines with conventional drive systems in the course of 2026.” While the automaker didn’t exactly admit defeat, they acknowledged the continued development of ICE-powered vehicles.

It’s been almost eight months since the 2025 Audi A6 e-tron was unveiled in Europe, and now we get to find out the range and pricing details for the US market. Going head-to-head with the BMW i5 and Mercedes-Benz EQE, the new A6 e-tron will be sold exclusively in Sportback guise, meaning the Avant version will remain forbidden fruit.

Sitting at the base of the range is the Audi A6 Sportback e-tron, starting from $65,900 for the Premium trim level, excluding a $1,295 destination and delivery fee. The base model is also available in Premium Plus ($69,800), and Prestige ($72,200) guises. Upgrades enjoyed by the Premium Plus and Prestige models include LED headlights with digital DRLs and interior ambient lighting. The Prestige also adds eight different light signatures and adaptive air suspension.

Read: 5 Things You Need To Know About The New Audi A6 Avant

Driving the base version is a 100 kWh (94.4 kWh net) battery driving a single electric motor at the rear with 375 hp. The cheapest i5 in the US is the eDrive40 model, punching out 335 hp and starting at $67,100. The Mercedes-Benz EQE is substantially pricier, starting at $74,900 for the EQE 350+ Sedan with just 288 hp.

The A6 Sportback e-tron range also includes the standard Quattro model. This model has the same battery pack, but features two electric motors, combining to pump out 456 hp. Prices start at $67,900 for the Premium, $71,800 for the Premium Plus, and $74,200 for the Prestige. The closest comparable i5 is the xDrive40, but it makes do with only 389 hp and starts at $70,100. Prices for the EQE 500 4Matic with its 402 hp start at $85,900.

Sitting at the top of the range is the Audi S6 Sportback e-tron. It delivers an impressive 543 hp and is available from $78,700 for the Premium, $82,200 for the Premium Plus, and $84,600 for the Prestige. All S6 versions come with sport adaptive air suspension and Prestige models include digital OLED taillights not found elsewhere in the range.

The base A6 Sportback e-tron has a quoted range of 392 miles (631 km) while the Quattro version with its added performance offers 377 miles (607 km) of range when fitted with the ultra package, which includes 19-inch wheels and all-season tires. The S6 Sportback e-tron has a quoted range of 324 miles (521 km). All models have an 800-volt system and support charging speeds of up to 270 kW, meaning the battery can be topped up from 10-80% in 21 minutes.

In the ever-evolving world of advertising, where companies are constantly trying to outdo each other with the next big thing, Volvo has thrown a curveball in Saudi Arabia for a couple of reasons. First, it doesn’t actually feature a Volvo—or a car of any kind. Before anyone jumps to conclusions and assumes this is a rehash of what Jaguar recently did, hear this: the entire ad is a creation of artificial intelligence. It might even offer a glimpse into what we can expect from future brand campaigns.

Titled “Come Back Stronger,” the video ad is a surreal mix of vague, almost abstract clips. There are close-up shots of people, individuals running in the desert, and other scenes that seem completely unrelated to anything Volvo specifically does. What does tie it all together is the voiceover, which, to be fair, sounds like a car commercial—even if the visuals don’t match.

Read: Even Jaguar’s Designers Weren’t Convinced By Controversial Rebranding, Leaked Letter Claims

Here’s the script:

“They say some dreams are too ambitious but we’ve never believed in limits. Challenges didn’t hold us back, they pushed us forward. Every obstacle, every doubt, shaped us into something stronger because progress isn’t about the past, it’s about what’s possible. And what’s possible is everything. This isn’t just a return, it’s a comeback, and together, we vow to always come back stronger.”

So, what does all that mean when it comes to practical application? Volvo is hoping to sell more cars in Saudi Arabia with its new electrified lineup. That’s the long and the short of the entire ad campaign. Once again, Volvo greenlit this with zero cars in the video.

It’s unclear whether Volvo intentionally chose to leave cars out or if it simply had too much trouble getting the AI to generate a truly accurate Volvo model. According to Adweek, Osama Saddiq, the founder of Lion—the agency behind the ad—said, “This was a tough decision… to tell a deeply human story through the voices of Saudi locals… showing the car would have distracted from the narrative.”

Regardless of intention or execution, it’s clear that AI could soon become a powerful tool in the automotive world. Even Mercedes’ head of design has warned that AI might make designers obsolete within the next decade.

Behind-the-scenes storyboards from Lion show just how the company did the work. In addition, it said that by using AI it cut production time from months down to weeks. For many brands, that alone could be enough of an incentive to start experimenting with AI more frequently in the near future.

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Soon after Costco’s Auto Program introduced a slew of discounts for several GM models, new savings were announced for new Audi models. The discounts will be available from March 4 through April 30 and unlike the GM deal that was mainly limited to EVs, the savings are available for both ICE and EV models.

If you’re a member of Costco, the retailer’s Auto Program aims to make the car buying experience easier as it does all the price haggling with dealerships. To benefit from the Audi discounts, all shoppers need to do is select the model they’d like and register for a savings certificate that can be presented at any Audi dealership in the US.

Read: Costco Now Offers EV And Hybrid Discounts, Including The Corvette E-Ray

The Audi A3, Q3, Q4 e-tron, and Q4 Sportback e-tron are all available with a $1,000 discount, while numerous other Audi models are available with a $2,000 saving. These include the A5 Sportback, S5 Sportback, A6 Sedan, A6 Allroad, S6, A7 Sedan, S7, A8, S8, Q5, Q5 Sportback, SQ5, SQ5 Sportback, Q7, SQ7, Q8, SQ8, Q6 e-tron, SQ6 e-tron, Q8 e-tron, Q8 Sportback e-tron, SQ8 e-tron, SQ8 Sportback e-tron, e-tron GT, S e-tron GT, and RS e-tron GT.

These incentives can be paired with any other incentives currently offered by Audi or individual dealerships. There’s plenty of demand for new Audi models from Costco memberships, which may come as a bit of a surprise. The retailer says the Audi A5, A8, A6, Q5, and Q4 e-tron were the most popular among its members in their respective segments last year.

“If a member is looking for a new luxury sedan, SUV or electric vehicle, the Audi Limited-Time Special is a great place to start,” Costco Auto Program general manager Cory Benwell said. “Audi is very popular among the Costco members who use our program and we’re helping them get into the vehicle they want at an exclusive value.”