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Core market USA: Volkswagen in the White House

Representatives of the Volkswagen Group, Daimler and BMW meet today at the White House with representatives of the US government. CEO Herbert Diess will attend on behalf of Volkswagen.

Representatives of the Volkswagen Group, Daimler and BMW will meet in the White House with U.S. government officials. CEO Herbert Diess will represent Volkswagen.
The United States is an important market for the Volkswagen Group – both in terms of production and vehicle sales. How is this expressed in figures? Why is it so, and what is the Volkswagen Group doing to keep things this way:
 

The Volkswagen Group in the United States – how did it all begin?

The Group subsidiary Volkswagen Group of America (VWGoA) was established in 1955 – its brands include Volkswagen, Audi, Bentley, Bugatti and Lamborghini. The Group sold its first vehicle to an American six years earlier: a Volkswagen Beetle. The Porsche subsidiary Porsche Cars North America, Inc. (PCNA) is also a member of the Group – it was founded in 1984.  

What role does the country play as an export market for the German automotive industry?

Measured by product value, Germany exports more vehicles, chassis, engines, etc. to the United States than to any other country in the world. Export volume totaled €29.4 billion in 2017. Market volume totaled 17.1 million vehicles. The German automotive industry produces more vehicles locally in the United States than it imports from Germany. Only 6 percent of all vehicle imports come from Germany. In 2017, the brands of the Volkswagen Group sold 625,107 vehicles in the United States. From January to October 2018, the Volkswagen Group delivered 528,900 vehicles, an increase of 3.9% compared to the same period of the previous year.

The Volkswagen Group counts on the United States and is investing there – but how much exactly?

From 2015 to 2019, the Volkswagen Group plans to invest $7 billion in the North American region. It also recently approved an additional $3.3 billion through 2020. The lion’s share of this money will be invested in Volkswagen’s production operation in Chattanooga, Tennessee. Last March, the company announced that about $340 million would be invested in the market introduction of another model – three models will then be produced in Chattanooga. The other two are the U.S. Passat and the Atlas. The Volkswagen Group is also searching for a production site for e-vehicles. Other locations are possible in addition to Chattanooga. A final decision has not been made yet.

What role does the Volkswagen Group play in the U.S. economy?

The Volkswagen Group of America employs more than 8,400 people.  If the dealer network with its more than 950 locations and indirect jobs is included in the calculation, then Volkswagen secures more than 126,000 jobs in the United States. In 2017, the Group’s economic activity contributed $28.1 billion to U.S. GDP.

Which products does the Volkswagen Group sell in the United States?

The Volkswagen brand sells the models Atlas, Beetle, CC, Golf, GTI1, Golf SportWagen, Jetta, U.S. Passat and Tiguan in the United States. Porsche is represented in the United States by the models 911, 718 Boxster, 718 Cayman, Cayenne, Macan and Panamera. Audi offers a range of Sportback models with representatives from the A series and the S series, various SUV models – including the Q7 and the Q82  – as well as a number of Coupés. In addition, U.S. customers can also purchase models made by the Group brands Bentley, Bugatti and Lamborghini.

Fuel consumption

  • 1Golf GTI – fuel consumption in l/100 km: urban 7.8 / extra-urban 5.5 / combined 6.4; CO₂ emissions combined in g/km: 148; efficiency class: D.
  • 2Q8 – fuel consumption in l/100 km: urban 7,0 / extra-urban 6,4 / combined 6,6; CO₂ emissions combined in g/kg 172; efficiency class: B.