Rupert Stadler, Chairman of the Board of Management at AUDI AG, said: ‘This decision enables Audi to continue its strategy of growth and internationalization. Following in-depth consideration of all relevant factors and an extensive international comparison of various sites, we selected Martorell.’

He added: ‘We are counting on this Spanish site’s efficiency, the excellent quality of the Production department, and its highly trained staff. We will use the Group’s synergies to sharpen our competitive edge and help protect around 1,200 jobs. The decision furthermore safeguards workplaces at other Audi locations.’

Due to the Audi Q3 being manufactured in Spain, a decision about production in the USA has been postponed.

Mr. Stadler said: ‘We will systematically explore our options in the context of the current market crisis. Audi is in a good position. There is currently no urgent need to select additional sites.’

The Q3 will blend a compact car design and driving dynamics with an SUV’s spaciousness and versatility.

The market launch of the Audi Q3 is scheduled for 2011.

Instead, Audi will build the new Q3 SUV at the Seat factory in Martorell, Spain, in an attempt to spread it’s work to balance the economic downturn.

Audi’s decision to build the Q3 in Spain comes after the industry minister specifically requested help from the Audi Group to save 13,000 jobs at the Martorell factory.

There are no technical details about the car yet, but it will of course be a great one!