Volkswagen (VW) to open two new plants in China with FAW

Plants will be built along the east coast of China in Qingdao (Shandong province) and in the port city of Tianjin.

Volkswagen (VW) has announced plans to construct two new plants in China. In a statement sent directly to IHS Automotive, the automaker said that the two plants will fall under its partnership with Chinese automaker FAW Group, with which it has a joint venture (JV). Prof. Dr. Jochem Heizmann – a member of VW's Board of Management Aktiengesellschaft, and president and CEO of VW Group China – signed a joint declaration today (7 July 2014) for the new vehicle plants with Xu Jianyi, chairman of FAW, in the presence of German chancellor Angela Merkel and Chinese premier Li Keqiang. The plants will be built along the east coast of China in Qingdao (Shandong province) and in the port city of Tianjin. A total of EUR2 billion will be invested to expand FAW-VW bases in China, the automaker said, but did not announce a timetable of when the plants are expected to begin construction.