VW management has expressed serious concerns about the US administration's proposal to impose 25 percent tariffs on car imports from Mexico.
Although a final decision has not yet been made on the matter, Trump said that the tariffs could take effect as early as February 1. Such a decision, according to the German company, would have a devastating effect on the economy.
The decision will harm both US consumers and the international auto industry as a whole. The Volkswagen representative noted that the company values the cooperation with the US administration and hopes to continue to maintain a long-term and constructive relationship.
The Volkswagen plant in Puebla, the largest in Mexico and one of the Volkswagen Group's key businesses, plays a critical role in the production of vehicles for export to the United States.
In 2023, around 350,000 vehicles were produced at this plant, including the Jetta, Tiguan and Taos models. These models are important for the US market and the imposition of tariffs is expected to significantly affect their competitiveness.
Experts estimate that around 65% of the cars that Volkswagen sells in the United States could lose their competitive advantage due to price increases.
Volkswagen also emphasized its long-term commitment to investments in the US economy, which already exceed $10 billion. These investments are aimed at both the modernization of the Chattanooga plant and the development of the joint venture with Rivian, which emphasizes the company's desire to remain a significant player in the American market.
According to informed sources, the company is actively interacting with the Trump administration, trying to find a compromise on customs policy. Volkswagen continues to work to strengthen its positions in the United States, adapting to changes in foreign trade policy.