Volkswagen is close to a US tariff deal, CEO Oliver Blume said, as the carmaker targets affordable electric vehicles in Europe. Trump’s tariffs announced in April, combined with a turbulent market, have already cost the group “several billions.” Even with a reduction from 27.5% to 15%, Blume called it a “burden for Volkswagen Group.”
The company plans major US investments and may localise Audi production. Blume noted Porsche is hit hardest, with US-bound models almost exclusively made in Germany, while also unveiling a small electric car concept aimed at Europe’s compact EV market.
BMW is preparing a Chinese-made iX3 SUV for 2026, with localised software for Chinese buyers. Trump’s tariffs have disrupted the global auto industry, with UK firms Lotus and Jaguar Land Rover announcing hundreds of job cuts linked to trade uncertainty.
