In the 1930s Schmeling was often seen with Hitler and other prominent Nazis. The Third Reich also persuaded Schmeling to help convince the US Olympic Committee not to boycott the 1936 Berlin Olympics, something that Schmeling later claimed was extreme naivete on his part. But Schmeling also resisted considerable pressure on him to join the Nazi party, which he never did. He also rejected demands that he drop his American manager, Joe Jacobs, who was Jewish. Schmeling refused, stating that he had to remain loyal to the man who had made it possible for him to become the world heavyweight champion.
By 1938 Joe Louis was anxious for a chance to redeem himself. On June 22 it took only 124 seconds for him to knock out the older Schmeling, who had also fallen out of shape. Poor Schmeling was hospitalized before he returned home to the Fatherland, only to be shunned by the Nazis and most German sports fans. It is a tribute to his character that he never held his defeat against Louis. In fact, in later years, when Schmeling was leading a prosperous life as the owner of the Coca-Cola franchise in Germany, and Louis was down and out, he visited the black boxer in Chicago and helped him financially.