Volkswagen Group CEO Oliver Blume confirmed that the company is engaged in “fair” and “constructive” talks with the U.S. government regarding import tariffs. In an interview with Sueddeutsche Zeitung, Blume said discussions, primarily with U.S. Commerce Secretary Howard Lutnick, have been ongoing and confidential.

Blume emphasised VW’s commitment to the U.S. market, highlighting a strategy for further investment, including a $5.8 billion stake in Rivian and the revival of the Scout SUV brand, with production starting at a $2 billion plant in South Carolina in 2027. The facility will also produce Audi models.

German automakers VW, BMW, and Mercedes-Benz are seeking to use their existing U.S. operations to influence a reduction of the current 25% import tariff.

Blume noted that such investments should be considered in tariff decisions and expressed hope for a broad trade agreement between the U.S. and the EU. However, he declined to predict when a deal might be reached.