USA: Volkswagen considering US production
Reuters reports that Volkswagen is considering building VW and Audi brand cars in the United States because of continued depreciation of the dollar.
"We are thinking about manufacturing those models there that for the most part are also sold in the US," Georg Flandorfer told German daily Frankfurter Allgemeine Zeitung, adding that the planned Audi Q7 sport-utility vehicle could be a candidate.
The weak dollar is likely to be a key factor in a loss to Volkswagen of around a billion dollars this year on its North American operations. Increased production in the NAFTA area would reduce exchange rate losses. But the company is also suffering in the highly competitive US market from an ageing line-up and worries over build quality.