Volkswagen, Europe’s largest industrial powerhouse, is gearing up for a major investment push in the United States after holding direct talks with President Donald Trump’s administration.
By going straight to Washington, Volkswagen executives are hoping to get ahead of any fallout from the next round of U.S.-EU tariff negotiations, which are slated to take place next week during the OECD summit in Paris. The German automaker, known for both VW and Porsche models, is eyeing a substantial boost to its American manufacturing footprint as part of its strategy.
Volkswagen Group CEO Oliver Blume struck an upbeat tone about the discussions. “We’ve had very fair and constructive talks so far,” he said. “Of course, it’s a complex process, and we’ve agreed to keep the details confidential — and I intend to respect that.”
The move to expand U.S. production is largely driven by trade uncertainty. If current trade arrangements lapse in July, European carmakers could soon face tariffs of around 10% on vehicles shipped to the U.S. By shifting more production stateside, Volkswagen hopes to shield itself from potential new levies.
Still, even with this planned investment, not all of Volkswagen’s troubles will vanish. While it continues to benefit from some EU protections against rising Chinese competition, the automaker remains dogged by its past. Just recently, four former VW executives were convicted over their roles in the lingering “Dieselgate” emissions scandal.
For now, though, the company seems determined to look ahead — and America appears central to its next chapter.
