Mercedes Firmly Refuses Donald Trump's Request to Move Headquarters to the US

JAKARTA - Mercedes-Benz Group CEO Ola Källenius, revealed a surprising fact. It is said, the government of President Donald Trump had tried to persuade the company to move its headquarters to the United States.

However, the German automaker eventually chose to stay in its home country. Speaking to The Pioneer, Källenius said US Trade Minister Howard Lutnick, tried to convince Mercedes by offering tax relief and various other incentives.

According to him, this kind of approach may be effective for moving a company's headquarters from one state to another in the US. But it becomes a different issue when it comes to foreign companies.

Mercedes' attitude is also firm, Källenius insists that Mercedes' global identity cannot be separated from its historical roots in Germany.

"Star [three-pointed] has been a global company for more than 100 years, but we are rooted in Swabia. Those roots cannot and should not be uprooted from the ground," he said, as reported by Carscoops, Friday, January 30.

The offer reportedly emerged almost a year ago, indicating that it occurred at the beginning of the second Trump administration. Although the details have not been fully revealed, this move is in line with the pressure of the United States on global automotive manufacturers to expand their domestic production base through the application of high tariffs.

Despite refusing to move its headquarters, Mercedes is still strengthening its presence in the United States. The company has long operated a large production facility in Tuscaloosa, Alabama.

The impact of the trade war even prompted Mercedes to announce plans to produce the GLC SUV in the US starting in 2027. The model will be assembled alongside the GLE, GLE Coupe, GLS, EQE SUV, and EQS SUV.

In addition, Mercedes also confirmed the construction of a new Research and Development (R&D) center in Georgia. The facility will be located around Sandy Springs and will be part of a multi-million dollar investment in the state.