How Has Volkswagen's CEO Responded to Trump’s WEF Speech?

President Donald Trump was among the political leaders to take to the stage at the World Economic Forum in Davos, where he discussed NATO, what he views as his administration’s economic achievements and his vision around tariffs.

Oliver Blume, Volkswagen (VW) Group CEO, has responded to his comments, telling German-based newspaper Handelsblatt: “The positive aspect in the end was that the US President dropped the idea of additional tariffs.

“Stable, reliable framework conditions are crucial for industry. That’s why we continue to focus on dialogue and international cooperation - on both sides of the Atlantic.”

This links to the CEO’s overarching strategy for the firm, involving deep international cooperation through a “region-for-region” approach, focusing on tailored strategies for China and North America, strategic tech partnerships and collaborative R&D to boost efficiency and accelerate electrification.

He told Handelsblatt that the EU reacted “correctly” to the tariff threats from Washington, saying: “Europe has many strengths and can act with confidence. That’s why clear positions are important.”

Audi’s expansion in the US

Although Oliver expressed relief over the fact Trump has not imposed additional tariffs, he added: “With the tariff burden remaining unchanged, a large additional investment isn’t financially viable.”

This means that the firm can only move forward with a planned Audi factory, which is owned by VW Group, in the US if there is a change in auto tariffs.

VW Group has various location options for a potential new factory, including land that it has in South Carolina, while other states have also expressed interest, Oliver said in the interview.

“We’ll make a decision once the parameters are clear,” he explained.

Audi vehicles are not currently built in the US, and are instead imported from various global production sites, primarily in Europe and Mexico.

The brand is considering leveraging VW Group’s existing US infrastructure into a potential twin plant to produce its cars, including EVs.

For this to become a viable option, the CEO said: “Reduction of costs in the short term and reliable business conditions in the long term are what we need.”

Volkswagen Group’s 2025 results 

VW Group's overall sales in 2025 were 8.98 million.

Growth was seen in Europe and South America but a decline in sales in China and North America due to tariffs and a tough market.

EV demand stayed stable, with the firm selling about 938,000 all-electric cars, which accounted for 8.1% of its total deliveries.

EV growth was especially strong in Europe and Germany, where sales of all-electric ID. models rose sharply, helped by the success of the ID.7 saloon and estate.

Although the decision for the Audi plant has not been made, VW Group plans to launch more than 10 new EV models in China and several new all-electric models globally in 2026, including the ID. Polo and the IS. Cross compact SUV.

Oliver said in a company announcement regarding its 2025 results: “The Volkswagen Group was on a solid track in 2025 - despite a challenging market environment. With around nine million vehicles delivered, our sales remain stable thanks to our attractive products across all brands and drive types.”

He added: “With more than 20 new models, we will continue our product offensive at full speed in 2026. These include further innovative vehicles from our model offensive in China and our Electric Urban Car Family.

“Entry-level e-mobility with top technology from Volkswagen, CUPRA and Skoda - the next step on our path to becoming the global automotive tech driver.”