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Why do Audi cars have a red ring on their badges?

I've noticed that all Audi cars have a red ring around their emblem. Is there a specific reason or meaning behind it?

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The red ring on Audi badges is a nod to the company's origins. It represents the merger of four different companies - Audi, Horch, Wanderer, and DKW - to form the Auto Union in 1932.

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