Summary
- Volkswagen Group extends joint venture with SAIC in China until 2040
- Partnership is part of Volkswagen’s strategy to achieve a leading market position with electric vehicles in China
- Focus areas for the partnership include expanding product range, optimizing production network, and decarbonization initiatives
- SAIC Motors aims to maintain industry-leading position in smart technologies through cooperation with Volkswagen
- Partnership aims to accelerate the transformation of SAIC VOLKSWAGEN and contribute to positive development in global automotive industry
Article
Volkswagen Group has extended its partnership with SAIC, one of the largest automakers in China, until 2040. This partnership is part of Volkswagen’s “In China, For China” strategy and aims to accelerate the transformation of their joint venture company, SAIC VOLKSWAGEN, towards intelligent, fully connected electric vehicles. The partners are focusing on expanding the product offensive with new e-models, range-extender variants, and plug-in hybrids, optimizing the production network for efficiency and productivity, and implementing decarbonization initiatives with ambitious goals.
Ralf Brandstätter, Member of the Board of Management of Volkswagen AG for China, emphasizes the importance of the Chinese market for the Volkswagen Group and the strategic competitive advantage gained by integrating into the Chinese ecosystem. SAIC Motors, the first Chinese carmaker to sell over one million electric vehicles, is deepening its cooperation with Volkswagen to develop new intelligent electric vehicles. The goal is to maintain an industry-leading position in smart technologies by leveraging customer orientation, quality management, and innovative strength.
The partnership between Volkswagen and SAIC aims to bring a new generation of electrified vehicles onto the road by 2026. This partnership, which was established 40 years ago, has earned the trust of more than 28 million customers in China. The long-term contract extension underscores the significance of the collaboration and the commitment to the “In China, for China” strategy. SAIC VOLKSWAGEN is focused on achieving sustainable and steady sales growth, as well as a leading market position, contributing to the positive development of the Chinese and global automotive industry.
By extending the agreement to 2040, the partners are creating early planning security in a dynamic phase of the Chinese automotive market. The partnership is accelerating the transformation of SAIC VOLKSWAGEN in terms of product portfolio, production, and decarbonization. The goal is to achieve a leading market position with Volkswagen Passenger Cars and Audi brands in the era of intelligent, fully connected electric vehicles. The collaboration aims to leverage local innovation strength and establish a strategic competitive advantage for the Volkswagen Group worldwide.
Volkswagen and SAIC’s partnership focuses on three core areas: expanding the product offensive with new e-models, range-extender variants, and plug-in hybrids, gradual optimization of the production network for efficiency and productivity, and consistent decarbonization initiatives with ambitious goals. The companies are pioneers of individual mobility in China and are committed to bringing a new generation of electrified vehicles to the market. The focus is on maintaining an industry-leading position in smart technologies through innovative solutions, customer orientation, and quality management.
Overall, the extended partnership between Volkswagen and SAIC aims to accelerate the transformation of the automotive industry towards intelligent, fully connected electric vehicles. By leveraging each other’s strengths and deepening their cooperation, the companies aim to maintain a leading market position and contribute to the positive development of the Chinese and global automotive industry. The partnership underscores the strategic importance of the Chinese market for Volkswagen Group and SAIC, as well as their commitment to sustainable and steady growth in the electric vehicle segment.
Read the full article here
