Auto Union's South American experiment - subsidiary VEMAG becomes more independent in Brazil
Summary
After Auto Union had acquired a stake in VEMAG, the latter became more and more independent and the DKWs increasingly Brazilian. Many years later, in 1965, the German Auto Union was taken over by Volkswagen and the competitor from its own company was no longer tolerated by VW do Brasil on the Brazilian market. This meant the end for Auto Union Brazil, which had been the undisputed number 3 on the market for years with its Brazilian DKWs.
This article contains the following chapters
- On the way to greater self-confidence
- The DKWs become more Brazilian
- What was missing? A sports car, of course
- VW prepares for the end
- How a DKW became a VW after all
- Conclusion
- Epilogue
Estimated reading time: 12min
Preview (beginning of the article)
Last week , we reported on Auto Union's South American experiment. We told you about Auto Union AG's entry into the Brazilian market and how it dealt with it, and we revealed a few things about how Auto Union tried to establish its off-road vehicle in the military, for example. The first part was entitled "Auto Union's South American experiment - building the German in Brazil". As early as 1934, Auto Union AG from Saxony had founded the sales company "Auto Union Brazil Limitada" in Rio de Janeiro. However, the branch was never really able to gain a foothold and by the end of the Second World War it was already over again. After the war, Auto Union GmbH re-entered the Brazilian market in the same year as VW. This was at a time when South America was on the rise and the Brazilian government had begun to push ahead with the development of a national automotive industry. Auto Union took part in this by acquiring a stake in VEMAG and a little later also supported "Elektro-Industria Walita SA" from Sao Paulo. After a short time, DKW Vemag had established itself and VEMAG became more and more self-assured and confident and soon started developing its own products for the Brazilian market. VEMAG was aware of its importance in Brazil, and the model range developed accordingly.
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