Volkswagen is in “fair” and “constructive” discussions with the Trump administration over U.S. import tariffs, as the German automaker pushes to expand its investments in the United States, according to CEO Oliver Blume. The automaker is seeking to mitigate the impact of a 25% import levy introduced earlier this year while positioning itself for future growth in its largest export market.
Blume said Volkswagen’s talks are primarily with U.S. Commerce Secretary Howard Lutnick and that both sides have agreed to keep negotiation details confidential. He noted that the company already employs more than 20,000 people directly and another 55,000 indirectly in the U.S., and plans to expand its footprint.
“We would build on this with further, massive investments,” Blume told the German newspaper Sueddeutsche Zeitung in an interview published Friday. “The Volkswagen Group wants to invest further in the USA. We have a growth strategy.”
Volkswagen recently committed $5.8 billion to U.S. electric vehicle manufacturer Rivian, part of a broader effort to deepen its domestic presence. The company is arguing that such contributions should be factored into any tariff decisions made by the U.S. government.
While many international companies have announced new American investments in response to President Trump’s trade policies, German automakers have remained more cautious. Still, Audi—Volkswagen’s luxury brand that currently does not manufacture in the U.S.—plans to begin production in the country, a strategy Blume said was in motion before Trump took office.
The U.S. trade court temporarily blocked most of the tariffs earlier this week, but a federal appeals court has since reinstated them while the Trump administration appeals the ruling.
German carmakers, including Volkswagen, are reportedly in talks with the White House to negotiate a broader deal, using their economic contributions as leverage to soften the impact of tariffs.
