Volkswagen Expands "Roadmap E" — An e-Mobility Engagement Initiative in China

Memorandum of Understanding signed in the presence of German Chancellor Angela Merkel and Chinese Premier Li Keqiang, reinforces Sino-German relations


On July 9, 2018, Volkswagen Group China signed a "Memorandum of Understanding (MoU)" with Anhui Jianghuai Automobile Group Corp., Ltd. (JAC) and SEAT in Berlin, in the presence of German Chancellor Angela Merkel and Chinese Premier Li Keqiang. The three groups will together establish a new "Research & Development" center with a focus on developing electric vehicles, connectivity and autonomous driving technologies, as well as a competitive platform for battery electric vehicles (BEV). SEAT brand will be introduced to China by 2020/2021. The move is a significant step in reinforcing Sino-German cooperation, as well as supporting Volkswagen Group China’s drive to be a leader in e-mobility.

"Electrified cars are the future of mobility and China is at the forefront of developing sustainable e-mobility solutions," said Prof. Dr. Jochem Heizmann, Member of the Board of Management of Volkswagen Aktiengesellschaft as well as President and CEO of Volkswagen Group China. "We are proud to have the opportunity to further collaborate with a trusted partner in developing E-mobility technologies. It represents another major step in Volkswagen Group’s overall China strategy."

This new Memorandum of Understanding will play a key role in Volkswagen Group’s e-mobility plans for China, in order to meet the demands of Chinese customers. Together with JAC and SEAT, Volkswagen Group China will establish an R&D center to develop electric vehicles, connectivity and autonomous driving technologies specifically tailored to the Chinese market, including relevant parts and components and core technologies, with completion planned for 2021.

Under the MoU, SEAT will become a shareholder in JAC Volkswagen, through either a capital increase of JAC Volkswagen or a share transfer from Volkswagen Group China. This will result in the introduction of the SEAT brand in the China market, targeting 2020/21.

In addition, the joint venture will launch a competitive BEV platform based on the technological resources of the three parties, so as to provide customers with an even wider choice of vehicles across all segments, both in China and globally. Through the comprehensive electrification initiative "Roadmap E", together with the strong efforts and contributions from JAC Volkswagen, FAW-Volkswagen, SAIC VOLKSWAGEN and Volkswagen Group China will lead the way in the development of e-mobility, with the introduction of 40 locally-produced models to the market within the next 7-8 years.

In late 2017, the "Roadmap E" got coupled with an increase in CapEx on e-mobility. Up until 2030, the Group will earmark over €20 billion for direct investments in the industrialization of e-mobility: in new vehicles based on two entirely new electric platforms, in upgrading plants and in training for the workforce, in charging infrastructure, in trading and sales and, last but not least, in battery technology and production.

Volkswagen had already firmly established e-mobility as a key focus area in the "TOGETHER – Strategy 2025" future program presented in June 2016 and set itself the goal of becoming the global number one in e-mobility by 2025.

Source: Volkswagen Media Services
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IndraStra Global: Volkswagen Expands "Roadmap E" — An e-Mobility Engagement Initiative in China
Volkswagen Expands "Roadmap E" — An e-Mobility Engagement Initiative in China
Memorandum of Understanding signed in the presence of German Chancellor Angela Merkel and Chinese Premier Li Keqiang, reinforces Sino-German relations
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