VW and FAW to Invest €2 Billion in Two New Assembly Plants in China

It appears that Volkswagen Group is opening assembly plants in China on a yearly basis. The automaker has announced it will build two new vehicle plants in the cities of Qinqdao and Tianjin, for which it will allocate €2 billion ($2.72 billion) together with its joint venture partner FAW.

At a ceremony attended by German Chancellor Angela Merkel and Chinese Premier Li Keqiang, Prof. Dr. Jochem Heizmann, President and CEO of Volkswagen Group China, andXu Jianyi, Chairman of FAW, today signed a joint declaration for two new vehicle plants in China.

“China has become our largest and most important market. To satisfy the demands of our customers in the country, we are engaging in a further substantial expansion of our capacities in China together with our Chinese partner FAW Volkswagen,” said VW CEO Prof. Dr. Martin Winterkorn, also present at the signing of the declaration.

The two new vehicle plants will be built step-by-step on the East coast of China in the cities of Qingdao in Shandong Province and Tianjin. The two locations were chosen together with the joint venture partner FAW, with the key site factors being high qualification levels and the infrastructure available.

Furthermore, Tianjin is also the location of a new production plant for dual-clutch gearboxes (DSG) for Volkswagen in China that is scheduled to start production at the end of 2014.

VW didn’t say which models will be built in the new plants. The German carmaker has been present on the Chinese market for 30 years. Together with its two joint ventures FAW-Volkswagen and Shanghai-Volkswagen, VW Group delivered about 1.51 million vehicles between January and May 2014, accounting for an increase of 17.7 percent compared with the same period last year.

By Dan Mihalascu



2020 Toyota Supra Driver Floors It, Crashes Right Into A Tree

The driver was probably trying out some kind of mod, but lost control of the Supra and crashed into a tree.

2020 Audi S8 Offers Supercar Performance Wrapped In Comfort And Luxury

The S8 has a rather discreet styling, but with 563 HP and a plethora of safety and comfort features, it’s very tempting.

Holden’s Project Monaro Is A Wonderful One-Off – And You Can Win It

The one-off Holden Monaro in question is painted Panoramo Blue Suede.

2019 LA Auto Show Preview: A-To-Z Guide To All The Debuts

Here’s a full list of all the world and North American vehicle premieres happening at the 2019 LA Auto Show .

Bad Driver Gets Instant Karma After Near Collision

Following the close call, the driver cut off a cop and got pulled over.

2020 Mercedes GLA Will Debut In “A Few Weeks”

Mercedes will reportedly skip auto shows and debut the 2020 GLA online.

1954 Jaguar XK120 Needs More Than A Dust-Off To Be Brought Back To Life

The classic Jaguar XJ120 will be auctioned off online between November 20 and 27 for an estimated $32k-35k.

Is This The Steering Wheel From The 2021 Corvette Z06?

If so, the Z06’s steering wheel will have carbon inserts and a red center line marker.

Consumer Reports Names The Chevrolet Camaro And Colorado The Least Reliable Cars In America

Chevrolet had the worst models, but Cadillac was rated the least reliable brand.

Customers Dumping Chevrolet And Ford Following The Death Of The Cruze And Focus

Cruze and Focus owners are now buying Civics and Corollas.