Auto Union was an amalgamation of four German automobile manufacturers, established in 1932 in Chemnitz, Saxony, during the Great Depression. The company has evolved into present day Audi, as a subsidiary of Volkswagen Group. Auto Union is best known for its racing team (Auto Union Rennabteilung, based at Horch works in Zwickau/Saxony). The Silver Arrows of these two German teams dominated not only GP car racing from 1934 onwards, but set records that would take decades to beat. For example, the power levels of the unlimited 1937 models were only equalled in the early 1980s by turbocharged Formula One Grand Prix cars. In August 1928, Rasmussen, the owner of DKW, acquired the majority of shares in Audiwerke AG. In the same year, Rasmussen bought the remains of the US automobile manufacturer Rickenbacker, including the manufacturing equipment for eight cylinder engines. These engines were used in Audi Zwickau, Audi Imperator and Audi Dresden models that were launched in 1929. At the same time, six cylinder and four cylinder (licensed from Peugeot) models were manufactured.

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