Pressure Mounts
Audi is in a tough spot right now, as it does not operate a U.S. manufacturing plant that could shield it from the Trump administration's tariffs on imported vehicles. That exposure may have weighed on its performance last year, when the brand recorded its weakest U.S. sales result in this decade. Deliveries fell 16 percent in 2025 to 164,942 units. By comparison, key rival BMW sold 388,897 vehicles in the country over the same period.
Now, Audi is opening a new chapter in the U.S. with the announcement that Vito Paladino will take over as president. Paladino joined Audi Canada in 2013 in sales operations before being named president in 2020. During his tenure, he helped guide the four-ring brand to its first-ever position as Canada’s top-selling premium automaker in 2022 – an achievement the U.S. arm would likely welcome right now.
Audi
No U.S. Anchor
The brand’s best-selling model in the U.S. is the Q5, a compact luxury crossover that competes with the likes of the BMW X3 and Mercedes-Benz GLC-Class. However, the Q5 is assembled in Mexico, while most other models are shipped from Europe. There have been multiple reports outlining potential strategies to mitigate that tariff exposure – including building the all-electric Q4 e-tron at parent company Volkswagen’s Chattanooga, Tennessee plant – but none of those plans have materialized so far.
That said, Paladino – who also assumed additional responsibilities as president and CEO of Volkswagen Group Canada in 2024 – will face significant challenges when he officially takes office on April 1, 2026. In a press release, he stated, “I’m honored to lead Audi of America at such an important time for the brand. Having spent much of my career within the Audi family, I know the passion, innovation, and dedication that drive our teams and our customers.”
Reorganizing the Front Lines
Outgoing Audi of America president Daniel Weissland will take on a new role as president of the FAW Audi Sales Company in China – one of the German marque’s largest markets, alongside the U.S. and Europe. Audi operates multiple manufacturing plants in China and has even introduced a separate sub-brand, AUDI, which focuses on all-electric models such as the E5 Sportback.
Khaled Soussi – currently responsible for Commercial Strategy and Customer Experience at SEAT – will replace Paladino at the helm of Audi Canada. Meanwhile, Edgar Estrada, currently president of the Volkswagen brand in Canada, will become president and CEO of Volkswagen Group Canada.
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