VW Extends Partnership with Chinese Automaker
After 20 years cooperating, the Volkswagen Group and its Chinese joint venture partner First Automotive Works (FAW) are extending their present partnership for a further 25 years, until 2041.
After 20 years cooperating, the Volkswagen Group and its Chinese joint venture partner First Automotive Works (FAW) are extending their present partnership for a further 25 years, until 2041. In addition, the Volkswagen Group and the Chinese joint venture partner SAIC are investing in the Shanghai Volkswagen (SVW) proving ground in Xinjiang province, western China. Both agreements were signed in Berlin in the presence of Li Keqiang, premier of the People’s Republic of China, Angela Merkel, chancellor of the Federal Republic of Germany, and Martin Winterkorn, Ph.D., chairman of the Board of Management of Volkswagen Aktiengesellschaft.
Volkswagen said it and FAW will be able to significantly expand existing research and development activities in China and move into new business areas in the coming years, above all in the field of alternative drive technologies. In July of this year, Volkswagen and FAW agreed to expand their production capacity by building two new plants in Qingdao and Tianjin.
Volkswagen is further expanding its activities in western China – and is joining up with the Chinese joint venture partner SAIC to invest some €100 million in a new proving ground in the Xinjiang region to test models from Shanghai Volkswagen. The facility will be built to the south east of the Urumqi plant commissioned in August 2013, according to Volkswagen.
Together with its joint venture partners SAIC and FAW, the Volkswagen Group builds models from the Volkswagen Passenger Cars, Audi, and ŠKODA brands for the Chinese market. Vehicle production includes engines and components manufactured locally by the Group and its partners. In total, the Volkswagen Group has a presence at 17 production locations in China comprising eight vehicle sites and nine component sites. Shanghai Volkswagen has already announced the building of a new factory in Changsha to expand vehicle production capacity. Furthermore, FAW-Volkswagen is to construct two new production plants in Qingdao and Tianjin.
In the first three quarters of this year, Volkswagen Group China together with its Chinese joint ventures Shanghai Volkswagen and FAW-Volkswagen delivered more than 2.7 million vehicles, an increase of 15.2 percent on the comparable prior-year period, according to the automaker.
Originally posted on Automotive Fleet
More Vehicle Research

Rivian Layoffs Will Not Impact Production Workers, R2 Has Launched
Rivian announces layoffs, but production is not expected to be impacted as the electric vehicle manufacturer starts R2 SUV deliveries to customers. The company’s 2026 first-quarter net profit was down $87 million from the same quarter in 2025.
Read More →
Chevrolet Reveals Fleet-Focused 2027 Silverado 1500 With New V8 Engines and Updated Technology
The 2027 Chevrolet Silverado 1500 adds new V8 engines, updated technology, and a redesigned Work Truck model aimed at commercial and fleet customers.
Read More →
Clinton Aluminum Finds Success with Mack MD7, Plans All-Mack Fleet
After finding success with 17 Mack MD7 medium-duty leased trucks, Clinton Aluminum has now decided to convert its 34-vehicle fleet to an all-Mack fleet. Here is why.
Read More →
Toyota Alabama Celebrates 25 Years of Producing Tundra and Tacoma Powertrains
Toyota Alabama celebrates 25 years of producing Tundra and Tacoma powertrain components, surpassing 11 million engines built in Huntsville.
Read More →Heavy-Duty Performance: Ram 2500 Walkthrough
The Ram Heavy Duty lineup is designed to support a wide range of fleet, utility, construction, and vocational applications while providing the technology operators expect from a modern truck. This walkaround video will explain the Ram 2500’s features and capabilities.
Read More →
All-New Mack Granite Cab Designed from Driver Input
Mack Trucks’ all-new Mack Granite will be available later in 2026 and features a driver-centric interior that was developed with input from more than 30 professional drivers through an unbiased clinic at Virginia Tech.
Read More →
Nissan Frontier Sport Edition: Off-Road Ready with Upgrades Available
Nissan’s 2027 Frontier Sport Edition gives customers off-road features, including all-terrain tires, an aluminum skid plate, fog lamps, and front accent lighting. Like every Frontier, it comes standard with Nissan's 3.8-liter V6.
Read More →
Hand-Painted Mack LR Models Unveiled During Trucks of Art Program in New York City
The New York City Department of Sanitation, in collaboration with its nonprofit partner the Sanitation Foundation, unveiled five new hand-painted Mack LR refuse vehicles during New York City’s Trucks of Art program.
Read More →
Ford Pro Extends 5-Year/100,000-Mile Limited Powertrain Warranty to Ranger, Maverick and E-Transit
Ford Pro expands its 5-year/100,000-mile Limited Powertrain Warranty to the 2027 Ranger and E-Transit for eligible fleet buyers.
Read More →Are You Tracking Your Fleet's True Total Cost of Ownership?
Bobit Business Media surveyed 190 fleet professionals and found that while most fleets are tracking costs, fragmented systems and data gaps are keeping true TCO visibility out of reach. With rising pressure to control spend in an increasingly volatile environment, the gap between what fleets think they know and what the data actually shows is wider than you might expect. See how your peers are managing costs today and where the industry still has room to improve.
Read More →
