A Volkswagen production line in Shanghai. The group's successful partnerships with SAIC Motor Corp and FAW Corp have helped it top the market in combined sales for two decades. [China Daily]
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A Volkswagen production line in Shanghai. The group's successful partnerships with SAIC Motor Corp and FAW Corp have helped it top the market in combined sales for two decades. [China Daily] |
German carmaker Volkswagen Group plans the biggest-ever investment in China by a carmaker over the next five years as it spends 10.6 billion euros ($13.9 billion) to consolidate and further expand its leading position.
Last week the auto giant reported 2010 was another year of robust sales growth as it moved a record 1.92 million vehicles on the Chinese mainland and in Hong Kong, a surge of 37 percent from the previous year.
The strong performance helped Volkswagen Group, which runs two major joint ventures with local partners, keep its two-decade crown as the top carmaker in the nation.
"Growth in the Chinese auto market exceeded everyone's expectations last year," said Karl-Thomas Neumann, president and CEO of Volkswagen Group China. "Although the growth might cool in 2011, we still expect good performance in the coming years."
The record investment from 2011 to 2015 will fund "expansion of production facilities and development of new products", Neumann said.
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