Lopez Case Could Lead to German Boycott of U.S. Goods

12/17/96

A recent survey indicated that up to a third of Germans might boycott U.S. goods if substantial damages are awarded to General Motors in its industrial espionage case against Volkswagen.

Four former GM executives who left the company to work for Volkswagen in 1993 have been accused of stealing GM documents detailing plans for a new factory and designs for a new car. One of the executives, Jose Ignacio Lopez de Arriortua, went on to become Volkswagen's new chief of production.

The case, which could bring billions of dollars in damages, is being tried in both the United States and Germany. According to Germany's Focus magazine, which published the survey, 42 percent of Germans think that such high damages are unjustified. In the past, German boycotts have had a strong influence on the actions of multinational companies, and auto industry analysts are advising GM to tread cautiously.

Ryan Houlette -- The Auto Channel