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Volkswagen to increase electric vehicles sales in China market

Linda Ma by Linda Ma
January 12, 2022
in China, News, Sales, Volkswagen
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German auto giant Volkswagen AG (VW) said it is likely to double sales of battery-based electric vehicles (EVs) for the Chinese market.

Quoted from Reuters on Wednesday (12/1/2022), the purpose of this increased sales is to achieve better performance.

Volkswagen China chief Stephan Wollenstein said the plan could be scrapped due to a shortage of semiconductor chips.

The Volkswagen ID series, which Volkswagen produces in a Chinese joint venture with SAIC Motor and FAW Group, is the backbone of the company’s electric car ambitions for the auto market in China. A potential land considering this is the largest car market in the world.

Volkswagen sold 70,625 units of Volkswagen ID in China last year, missing the target of 80-100 thousand units. The causes are the regional COVID-19 pandemic and semiconductor chips.

However, Stephan Wollenstein expressed optimism, stating, “Quite positive that we will see a doubling of actual sales.”

The Volkswagen group, whose production includes Audi, Lamborghini and Porsche brands, will sell 3.3 million cars in China in 2021, down 14 percent, said Stephan Wollenstein.

Volkswagen has set a target to increase its sales by 15 percent or around 500,000 units this year. However, the supply situation of semiconductor chips must also be considered.

A shortage of semiconductor chips that are key components of everything from brake sensors to power steering to in-car-entertainment (ICE) systems has led automakers around the world to cut or suspend production, leading to higher prices for used cars compared to waiting for new products.

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Linda Ma

Linda Ma

Studied in marketing. Linda has been covering the electric vehicle scene since 2010 with focus in sports and China EV Brand.

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