OMM Newsroom
Audi Chief Executive Gernot Döllner has faced criticism from German union leaders and politicians after appearing alongside Donald Trump at a campaign rally in Georgia and announcing plans for a $4 billion factory. According to AnewZ, IG Metall union leader and Volkswagen Deputy Supervisory Board Chairwoman Christiane Benner said the appearance violated rules on political neutrality ahead of elections.
“Döllner has also openly violated his company’s own rules, which require political neutrality ahead of elections,” Benner said.
Audi did not immediately comment. However, a source familiar with the matter told Reuters that the company’s management board had approved an exemption from its code of conduct for Döllner before his joint appearance with Trump.
U.S. factory plan awaits approval
Audi’s first U.S. plant is planned to produce up to 200,000 SUVs a year. The plan was announced at Trump’s campaign rally in Perry, near Macon, Georgia.
The investment plan is still awaiting approval from Volkswagen’s supervisory board, which includes German employee representatives.
The move follows lengthy discussions about starting production in the United States. One aim is to avoid import tariffs, which cost Audi about $1.3 billion last year.
Daniela Cavallo, a member of Volkswagen’s supervisory board, acknowledged the potential business benefits of local production but criticized Döllner for announcing the investment at a political rally. “Purely from a business perspective, localizing Audi production in the United States could make sense,” Cavallo said.
She also said Döllner had allowed himself to become “a puppet in Trump’s propaganda show.” A source familiar with the discussions told Reuters that Cavallo expressed concern about the appearance but did not formally object to it.
According to the source, Audi’s code of conduct prohibits public appearances alongside political parties and politicians participating in elections during the three months before a vote, as well as sponsorship of such events. The company’s management board may authorize an exception.
Criticism comes as German jobs face cuts
Trump has previously voiced support for Germany’s right-wing Alternative for Germany (AfD) party, causing concern in the country’s political and corporate circles.
German automotive industry expert Ferdinand Dudenhöffer compared Döllner to Tesla Chief Executive Elon Musk, who has appeared on stage with Trump.
Olaf Lies, premier of Lower Saxony and Volkswagen’s second-largest shareholder, said a campaign rally was not an appropriate venue for announcing a major investment. “A campaign rally cannot be an appropriate venue for announcing an investment of this scale,” Lies said.
He added that the appearance had alarmed employees concerned about job security in Germany.
The dispute comes as Volkswagen seeks to cut costs and eliminate about 100,000 jobs. The company is facing major losses in China, U.S. tariffs and the high costs of shifting to electric vehicles.
Pressure on German plants is mounting. Audi’s Neckarsulm plant is among four Volkswagen facilities that could close from the start of the next decade.
Metzler analysts said the contrast between plans to create jobs in the United States and reduce production capacity elsewhere made the announcement difficult to justify publicly. They nevertheless maintained that producing cars in the United States was the right commercial decision.
Trump has defended tariffs as a way to increase U.S. manufacturing jobs ahead of the midterm elections scheduled for November 3.
