Volkswagen plans to expand base in China.

German Auto giant Volkswagen is all set to open up two new plants  in China as it has received an approval nod from the China National Development and Reform Commission (NDRC). The new plants will be built in the Eastern Chinese cities of Tianjin and Qingdao.


On the other hand, the Germany based company is also planning to expand the production capacity of its plant which is located in Chengdu in western China to 600,000 vehicles per year.

So far, Volkswagen has not made any official announcements in this regard, however, the company has been constantly investing in China as it competes with US based giant General Motors and domestic companies like SAIC Motor corp, in the world’s largest auto market.

The company also has assembly plants in Changchun, Chengdu under a venture with the state owned automotive enterprise FAW Group Corp. It also has assembly plants in Yizheng, Shanghai, Nanjing and Urumqi with SAIC.

The luxury auto maker will also open a plant in the Hunan provincial capital of Changsha by 2015 and will operate with SAIC. Volkswagen is planning to invest a total of 18.2 billion Euros between 2014 and 2018 in the new plants and productions with its Chinese joint venture partners.

Photo Credits: Rushlane


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