Audi to cut $15b to fund EVs

Audi has pledged to cut costs by over $15 billion by 2022 to help fund its shift to electric cars, Reuters reports. The highly profitable division of Volkswagen plans to bring five new pure-electric vehicles to market, starting with an e-tron SUV, which will be produced from next year.

Last year, an all-electric Audi R8 e-tron had a brief production run of 100 vehicles, and retailed for over $1.5 million before it was pulled in October.

Reuters says that the bulk of the $15 billion cuts will come from Audi’s research and development budget. A spokesperson for Audi declined to comment. More plans for Audi’s development were revealed to the news outlet. The car maker plans to develop a new production platform in conjunction with Porsche, meaning both Volkswagen brands can save money by sharing components and modules. Audi is one of European brands embroiled in ongoing allegations of widespread cheating of emissions tests, and several top executives have been investigated recently. Last month, the German transport ministry ordered a recall of around 24,000 A7 and A8 SUVs for exceeding current emissions standards.