Volkswagen to invest ~$18B in China through 2022 on e-mobility, autonomy, digitalization, mobility services; new JAC-VW electric SUV
On the eve of the 2018 Beijing International Automotive Exhibition, Volkswagen Group announced that it its joint-venture partners will invest around €15 billion ($18.3 billion) through 2022 in China on e-mobility, autonomous driving, digitalization and new mobility services.
Volkswagen sold almost 3.2 million vehicles in China in 2017—the most successful make in the country. The success continues this year, with more than 750,000 vehicles delivered in the first quarter leading to further growth of 8.6% year-on-year.
Volkswagen is due to introduce ten fully electric models by 2023 in this major market alone, with plans in place to produce and sell a total of around 650,000 fully electric cars in China in 2025.
As the world’s biggest automotive market, China plays a prominent role across all Group brands. The strong bond with our joint ventures and business partners will remain. We are accelerating to make mobility cleaner, safer and more intelligent to really improve people’s lives. We will be starting local production of battery-electric cars in at least six factories by 2021 in China.—Chairman of the Board of Management and CEO, Dr. Herbert Diess
Under its Roadmap E strategy, Volkswagen will launch 40 NEVs (New Energy Vehicles) in China in the next 7 to 8 years.
The company is also aiming to move to “the fourth dimension of mobility,” whereby the car will be a smart, self-moving device embedded in a digitalized eco-system. To jump-start this transition, Volkswagen Group China continues to form partnerships in a range of key areas, such as artificial intelligence with Mobvoi and, through Mobility Asia and its brand ezia, smart mobility services.
With Shouqi, Volkswagen Group China will expand into ride-hailing, car-sharing partnership and revolutionary last-mile mobility for everyone in every situation. With Didi Chuxing, Volkswagen Group China is entering the first phase of a partnership by exploring mobility projects as well as smart city, autonomous driving and robo-taxi projects.
Volkswagen Group China’s joint ventures will play key roles. FAW-Volkswagen is building an intelligent network-connected ecosystem that will provide users with a safe, convenient and personalized experience. It will proactively identify customers’ demands, and constantly optimize the end-user experience by integrating the digital system. Areas such as R&D, production, quality assurance, sales and after-sales will be networked.
SAIC-VOLKSWAGEN is committed to delivering thoughtful, valuable and user-friendly products as well as innovative services, to meet ever-updating consumer needs. In addition to staying ahead in the traditional fuel-powered vehicle field, SAIC-VOLKSWAGEN is providing customers with NEV models and innovative services based on the mobile Internet.
JAC Volkswagen, the new joint venture between Volkswagen Group China and Anhui Jianghuai Automobile Group Corp., Ltd. (JAC), is another example of how Volkswagen is providing customer-oriented e-mobility solutions. The joint venture’s new SOL brand will promote the development of China’s NEV sector. The joint venture has a clear roadmap that covers components, connectivity and big data services, electronic payment and R&D, while a new agreement with Zhejiang Tmall Technology Company Ltd. will create an innovative retail model.
SOL E20X electric SUV
At the event, JAC Volkswagen unveiled its first product, SOL E20X. The battery-electric SUV is aimed at the volume market in China and has a NEDC range of more than 300 km (186 miles). The car will provide features such as A.I. and intelligent connectivity.