Volkswagen will build a new factory in Foshan, China, which is in line with plans to double production in the world’s largest auto market to 3 million vehicles per year by 2013/2014, as announced by chairman Martin Winterkorn. Construction of the plant will begin at the end of this year on a 170 hectare plot of land.
When it’s ready to function in mid-2013, the facility will employ around 4,000 people to achieve an annual production capacity of 300,000 units. VW and its Chinese joint venture FAW-Volkswagen will pour in 520 million euros into this project.
Europe’s biggest automaker, together with local partners FAW-Volkswagen and Shanghai Volkswagen, have nine plants in China churning out 20 VW, Audi and Skoda models. VW is betting heavily on China, recently announcing that it will boost investment in China operations by 1.6 billion euros to 6 billion euros.
It has plans to launch seven new or locally produced models this year, to make a total of 20 new models by 2012. Wolfsburg also wants to produce electric cars there by 2014. In the first five months of the year, the Volkswagen Group has sold around 778,000 vehicles in China, a 48% increase over the same period last year.
VW will be smart to take note of recent developments in Foshan, where Honda’s exhaust supplier is facing a labour strike demanding for higher pay.
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big giant!!
bye malaysia
no wonder dun wanna come malaysia
malaysia is smaller than one of their state, lol.
but no worries, we have proton to save us, the only national car maker that are been cursed by their own citizen, lol.
hidup proton!!
LOL!
China is still the primary market in Asia. Now let’s see if VW thinks ASEAN is important enough.
our loss…china’s gain
pity our national automaker is co mired in red tape and self serving interests of a select few……very myopic and short term oriented…….sad
China dont have to jack up all foreign car price to protect their own market.
Without proton, who will set up car factory in indon and thailand?? They dont have intel in indon and thailand, they have intel in penang. We have a lot of skill workers here!!!
Intel have in China, Philipines, India & Vietnam.. Now they also moving a lot of tech to other countries also…
Why all these CHinese government in countries like CHina, Taiwan, Singapore don’t want to Learn from our Malaysian government to protect their local brand using super Tax and super duty, it’s very Effective in my humble opinion.
The chinese in taiwan,china and singapore should learn from malaysian how to bash their own brand!
it they do that..they will end up in jail and wait for hukuman tembak
Good point, the governments should learn from each other, like our govt here also know how to learn from Them to Send our astronaut to Space, very Effective.
LOL~! Look at their country and compare to our country.. Even economy wise also cannot win them! Haha.. They look at us like peanut… ROFL~!
Malaysia uses Proton against VW, it’s super Effective!
Just like playing pokemon.
don u remember chinese gov also sent angkasawan to outer space and they planing to go to moon
They’re now planning an expedition to Mars.
car in singapore is more pricey
In the 70’s people scorned at Japanese cars in Malaysia, 20 years later Japanese cars were the things to die for to many of us.
In the 90’s people make jokes about the Korean cars, 20 years later the Korean cars are seriously threatening some of the Japanese models.
In the 00’s people are saying unfriendly things about the Chinese cars, but the pace at which they improve their products, very soon they could be challenging the Koreans or even the Japanese.
25 years ago people were laughing at Proton, 25 years later with the help of internet, the laughter grew even louder.
well said!
Thumbs up!! and i mean both thumbs!
so very true. What is seriously wrong with us that we cannot compete internationally?
Instead we become the laughing stock of the world.
well said. still some typical malaysians so proud of themselves esp. PERKASA supporters. narrow minded doesn’t bring them to developed status nor meeting WAWASAN 2020.
two thumbs :-)
the more investment coming in, the more technology they learn. the china carmakers will grow more faster!!!
plus they have huge market 100X bigger than us..that we cannot compete unless we all giv birth 100 children for each of us
For sometime, I thought the Malaysian G was trying to court the foreign auto makers to set up plant in Malaysia. Let me recall, they encourage them to produce here but for export market.
I guess that trick didn’t work.
You got it!
The only reason why VW *was* interested in Proton, was because they wanted to build and sell cheap cars in Malaysia.
It doesn’t make any sense at all for VW to build expensive cars in Malaysia in small numbers. Even the Audi A5 and A8 for the big chinese market are build in Germany. They sell too few in China to make production in China profitable…
i giv u 3 question n giv reason
1.build bicycle choose one China, Indon, Japan, Malaysia, thai
2.build motocycle choose one China, Indon, Japan, Malaysia, Thai
3.build pc cmponent choose one China, Indon, Japan, Malaysia, Thai
if im answer the question..China reason huge market (in term of population) coz ~8x bigger market than indon, ~10x bigger than japan, how many time bigger than Thai n Malaysia combine
I tot Audi win over Merc due to China market.. Dont u read that Audi now is second most production car in German losing it to BMW?!? China have one of the largest & faster growing car industry in the world.. And Audi have a lot of long base cars over there…
Yes, proton. Read this and weep !!
dont worry. they can wipe thier tears with tax payers money.
even tax payer money does not enough to pay other things…dont u remember our G operate with deficit….mean thats pay(subs+hospital+school+Bn/PR MP elaun+road {new/repair}+emergency{flood}+poor people+scholarship+bridges+Gov worker{police/army/dr/engineer}+P.raya kecik) more than receive(all tax+summon+petronas+khazanah)…my tax money use to help poor people its gud enough
Potong: Why i want to cry? at least my part suppliers is making money, which indirectly back to our pocket. Selling overseas have no benefit for us. Furthermore, own gang is monopolized all import cars under NADA group, so no worry.
VW: How about creating jobs for your people in manufacture plant? The eco-business environment for a new factory in the country? NADA can provide more jobs? The just trading.
Potong: Job for who? those people never need to pay tax. Msia less than 20% pay tax anyhow, also, we are not G to provide job, so G just need to hire more servant, deficit or not not my problem.
VW: …Msia Boleh…
also Khazanah and all director!!!
See how a multinational would rather take on the chance of labour disputes rather than having to deal with the bullshit NAP of the UMNOputras.