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VW CEO Oliver Blume personally confirms additional investment plans towards the US government.

Despite China, the United States is another significant sales market for Volkswagen. US Tariffs have been putting stress on the automaker. CEO Blume intends to counteract tariffs via investments in the US.

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Volkswagen, apart from China, also relies significantly on the U.S. as a key sales market. The...
Volkswagen, apart from China, also relies significantly on the U.S. as a key sales market. The implementation of tariffs by the U.S. government is causing stress for the car manufacturer. In an effort to minimize the impact of tariffs, CEO Diess is planning on investing in the U.S. market.

VW CEO Oliver Blume personally confirms additional investment plans towards the US government.

Volkswagen Seeks to Overturn US Auto Tariffs with Investment Commitments

In an effort to avoid US auto tariffs, car manufacturer Volkswagen is planning substantial investments in the United States. CEO Oliver Blume shared this intention during talks with the "Süddeutschen Zeitung," stating that VW is willing to make "extensive investments" in the country.

Blume asserted that the Volkswagen Group is determined to maintain its investment in the US, as it currently employs over 20,000 people there, producing vehicles, school buses, and trucks. VW is currently constructing a new facility for the Scout brand and aims to bolster its domestic presence with additional, significant investments.

Discussions between Volkswagen and the US Trade Minister have been described as "fair" and "constructive" by Blume. Although the conversations have mostly transpired with the Trade Minister, they are expected to reach the desk of US President Donald Trump eventually.

Negotiations with the US government are not exclusive to Volkswagen. BMW and Mercedes-Benz are also engaging in similar talks. BMW operates its largest plant globally in the US and is the country's largest auto exporter. Meanwhile, Mercedes is reportedly in dialogue with the US government, according to "Handelsblatt."

In April 2024, Trump imposed a 25% tariff on imported vehicles, significantly impacting European automakers like Volkswagen. Although some tariffs were lifted later, the auto tariffs continue to be implemented. The United States remains the most vital export market for the German automotive industry, with nearly 450,000 vehicles from German production being exported to the US in 2024, according to the VDA.

  1. Volkswagen is placing substantial investments in the US finance sector, recognizing that it not only involves the auto industry but also the broader business environment.
  2. The Volkswagen Group's extensive investments in the US underscore the importance of the US market for its finance and business operations.

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