Audi CEO Gernot Döllner stood alongside U.S. Donald Trump in Georgia to announce the Volkswagen subsidiary’s first manufacturing plant in the United States, a move that immediately triggered sharp political backlash in Germany, Deutschlandfunk reported.
A Billion-Dollar Bet in Georgia Amid Electoral Tensions
Trump announced during a Republican rally in Perry, Georgia, that Audi plans to invest 4.2 billion dollars (roughly 3.6 billion euros) to construct a massive manufacturing facility near Macon. The project aims to churn out 200,000 SUVs annually, with construction slated to begin next month according to Trump, while Audi cited the coming year, and production ramping up early in the 2030s. Up to 4,500 jobs are expected to be created at the new American site.
MILLIARDEN-WERK IN GEORGIAAudi-Chef tritt bei Trump-Kundgebung auf – SPD-Politikerin spricht von „Schande“ https://t.co/XUKmO2G6KS”
The timing of the announcement coincides with an intense political cycle in the United States, where congressional elections are set for November 3. According to reporting by WELT, Bernie Moreno praised the investment, asserting that the plant would never have materialized without a business-friendly regulatory climate and the rollback of California’s strict fuel economy standards. For Audi, the facility serves as a vital bridge across punishing trade barriers. The luxury automaker has historically imported all vehicles for the American market directly from Europe or Mexico, leaving it vulnerable to steep U.S. tariffs that cost the brand 1.2 billion euros last year alone as its U.S. sales dropped by 16 percent, SPIEGEL noted.
Döllner Violates Corporate Neutrality Guidelines
Döllner’s presence on the campaign stage violated Audi’s own corporate governance guidelines. Roughly six months prior, the CEO signed a self-commitment pledge explicitly stating that executives must avoid public events with politicians or political parties during the final three months before an election, while committing the brand to strict political neutrality. Defending his appearance, Döllner maintained that respect for the office required him to accept an invitation from the U.S. president.
The appearance drew fierce condemnation from German lawmakers. Isabel Cademartori, the SPD’s transport policy spokeswoman, blasted the event as active campaign assistance for an autocrat in a crucial swing state. That is a disgrace, especially considering the history of the VW Group,
Cademartori said in a statement released in Berlin, pointing to Volkswagen’s origins during the Nazi era. She argued that announcing multi-billion-dollar investments while German workers anxiously await their job security effectively validates Trump’s strategy of using trade wars to siphon European jobs into the United States.
Balancing Global Expansion with Domestic Restructuring
The broader Volkswagen empire is currently managing a severe corporate crisis. Plagued by sluggish profit margins on electric vehicles, tightening U.S. tariffs, and a rapidly collapsing market in China, the automotive giant plans to eliminate up to 100,000 of its roughly 667,000 global jobs by 2030, with the vast majority of cuts hitting domestic plants in Germany.
Regional leaders and labor representatives are demanding strict safeguards to ensure that American expansion does not come at the expense of European factories. An SPD politician acknowledged the strategic importance of the North American market but drew a firm red line. More production there is an opportunity only if the plants and employees in Germany benefit from it as well,
the politician said. Growth in America must secure work and value creation here and must not displace them.
Meanwhile, IG Metall union leader Christiane Benner offered a conditionally positive stance on the industrial strategy while emphasizing that the executive board remains accountable to the workforce. Developing the U.S. market through a new plant is correct and necessary,
Benner stated, adding a sharp caveat: However, binding perspectives for employees at all locations must be clearly defined.
Benner, who serves as deputy chairwoman of the Volkswagen supervisory board, reminded stakeholders that the final decision regarding the factory project remains subject to formal corporate committee approval.
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