Volkswagen to establish NEV sales and services company in east China

Photo taken on July 11, 2020 shows a Volkswagen new energy vehicle on display during the 17th China (Changchun) International Automobile Expo held in Changchun, northeast China's Jilin Province. (Xinhua/Zhang Nan)

HEFEI, May 11 (Xinhua) -- Volkswagen Group China plans to establish a new digital sales and services company in Hefei, capital of east China's Anhui Province, the carmaker announced on Tuesday.

The new company is expected to complete the group's entire value chain in terms of manufacturing, R&D, testing, sales and marketing, as well as customer services, according to the group.

"This new digital sales and services company is an exciting chapter in the group's investment in e-mobility and another milestone in our partnership with Anhui Province. As we strive to become the market leader in e-mobility, our customers can expect to enjoy the latest Volkswagen Anhui-produced new energy vehicle (NEV) models through this company in the not-so-distant future," said Stephan Wollenstein, CEO of Volkswagen Group China.

With an office area of about 10,000 square meters, the new company will form an integral link in the value chain of the group's joint venture, Volkswagen Anhui. Volkswagen Anhui focuses on NEV R&D and manufacturing based on the group's renowned modular electric drive matrix (MEB) platform.

The new digital sales and services company will also explore novel business models such as innovative data-driven services tailored to customers' e-mobility requirements.

Currently, the group's third Volkswagen electric vehicle plant in China is under construction in Anhui Province. The construction is scheduled to be completed by mid-2022, with the first NEV model expected to go into mass production in the second half of 2023.

The plant, jointly owned by Volkswagen and Anhui Jianghuai Automobile Group, is designed with an annual production capacity of 300,000 electric vehicles.