German automotive concern Volkswagen recently said that VW and three Chinese joint ventures with his participation plan to invest a total of about 15 billion euros in the production of electric cars in China. It is planned to allocate these funds in the period from 2020 to 2024.
China is the largest automotive market in the world, so the decision to invest in the development of local production is understandable. Partners of Volkswagen in the mentioned joint venture are Chinese companies FAW Group, SAIC Motor and JAC.
Investments, in particular, will be aimed at expanding the range of electric cars. By 2025, the German automaker intends to produce 15 models in China – both fully rechargeable and plug-in hybrid. Already in October this year Volkswagen will start producing electric cars based on its MEB architecture at two Chinese factories. Battery suppliers will be local CATL, Guoxuan and A123 companies.