{"id":1721,"date":"2020-06-26T14:14:21","date_gmt":"2020-06-26T14:14:21","guid":{"rendered":"https:\/\/jacoman.com\/en\/?p=1721"},"modified":"2022-12-30T14:53:50","modified_gmt":"2022-12-30T14:53:50","slug":"jac-volkswagen-a-duo-set-to-transform-automobile-electrification","status":"publish","type":"post","link":"https:\/\/jacoman.com\/en\/blog\/jac-volkswagen-a-duo-set-to-transform-automobile-electrification\/","title":{"rendered":"JAC & VOLKSWAGEN | A DUO SET TO TRANSFORM AUTOMOBILE ELECTRIFICATION"},"content":{"rendered":"

\u201cThe unification of our country, the unity of our people, and the unity of our various nationalities – these are the basic guarantees of the sure triumph of our cause.\u201d<\/p>\n

1st pocket ed., pp. 1-2. Mao Tse Tung<\/p>\n

As of May 29, 2020, Volkswagen<\/a> turned another page of business in the land of the dragon, China. As if two hands weren\u2019t enough, Volkswagen plans to increase its share in JAC Volkswagen and conquer the vision of e-mobility united.<\/p>\n

A hefty amount of \u20ac1 billion is allocated to be invested in the acquisition of 50% of JAG, the parent company of Volkswagen partner JAC, and a hike from 50% stake in JAC Volkswagen<\/a> to 70%. Furthermore, Volkswagen is also claiming a 26% stake in battery manufacturer Gotion High-Tech Co., Ltd. for around \u20ac1 billion, which makes Volkswagen the highest stakeholder in the company.<\/p>\n

This investment may prove to be a historical moment as it aims to build the perfect framework for introducing more electric vehicles and infrastructure.<\/p>\n

Here\u2019s how the officials from both companies feel about this historical unification:<\/p>\n

\u201cTogether with strong and reliable partners, Volkswagen is strengthening its electrification strategy in China. The electric car segment is growing rapidly and offers a great deal of potential for JAC Volkswagen. We are actively driving forward the development of battery cells in China through our strategic investment in JAG\u201d<\/p>\n

– Dr. Herbert Diess, CEO of Volkswagen AG<\/a><\/p>\n

\u201cWe are very happy to strengthen our cooperation with world-renowned automobile manufacturer Volkswagen. The automobile electrification development in China is at the forefront in terms of R&D and application. Together with Volkswagen, we will push for the market development of automobile electrification and provide greener, more environmental-friendly electrified automobile products to world consumers\u201d – Mr. Anjin, CEO of JAG<\/p>\n

\u201cI am delighted with this strategic milestone in our mutual and trusted relations as Volkswagen takes a strategic role in a state-owned company for the first time, as well as investing directly in a Chinese battery supplier. These investments shape the character of Volkswagen in China, making it a more localized, more sustainability-focused mobility company. By opening up the market, China is giving Volkswagen new business opportunities.\u201d – Dr. Stephan W\u00f6llenstein, CEO of Volkswagen Group China<\/a><\/p>\n

JAC Volkswagen Transformation through a Dynamic Partnership<\/b><\/p>\n

Volkswagen advances to the next step in its Chinese electrification strategy by strengthening its position and taking forward JAC Volkswagen\u2019s joint venture through hefty capital investment. The government of Anhui province and Volkswagen (China) Investment Co. Ltd. co-signed letters of intent raising Volkswagen\u2019s stake from 50% to 75% within the JAC Volkswagen joint venture. Additionally, Volkswagen will invest in JAG, the parent company of JAC. The deal is projected to be closed at \u20ac1 billion by the end of the year, subject to customary regulatory approvals.<\/p>\n

What\u2019s <\/b>JAC Volkswagen Joint Venture<\/b><\/a>?<\/b><\/p>\n

JAC Volkswagen’s joint venture is an all-electric company developing, producing, and selling NEVs. Founded in 2017, the company has a portfolio expansion of up to 5 additional BEV models by 2025 planned, as well as building a full-scale e-model factory and finishing the R&D center in Hefei.<\/p>\n

Paving Way for a Greater China and Volkswagen\u2019s Sustainability Goals<\/b><\/p>\n

Along with the Chinese Government, Volkswagen Group China has been committed to accomplishing these new achievements, which just as placing the Group in an advantageous position for future turns of events, will simultaneously bolster Anhui Province in turning into another center point in China for electro-portability. The creation and deals of new vitality vehicles in Anhui represent about 13% of the national piece of the overall industry.<\/p>\n

JAC Motors<\/a>\u00a0<\/b><\/p>\n

Started as Hefei Jianghuai Automobile Factory in 1964 in the Anhui province China, the company started off building truck chassis, slowly establishing their resources to create their first 2.5 Ton truck for the Anhui market in China.<\/p>\n

Progress grew from there and the company expanded their chassis developments from trucks to chassis designed specifically for buses, their first success came in the form of the launch of the first-ever Chinese bus chassis, in June of 1990, one of the most influential products to come out of China during that time, a breakthrough for the company.<\/p>\n

With constant and stable growth, thanks to sales of the company\u2019s variety of truck options, chassis, engines, and other automobile components, JAC Motors took a step towards globalization and listed in the Shanghai stock market in 2001. From then on, JAC Motors on expanding to global markets and further expanding its product mix.<\/p>\n

With the introduction of Light Trucks, MPVs, Sedans, and SUVs in their arsenal of vehicle offerings, JAC Motors continues to grow its business, societal impact, innovations & collaboration with bigger names, such as Volkswagen and Pininfarina, in the automobile industry.<\/p>\n

Volkswagen<\/b><\/a><\/p>\n

For thirty-five years, Volkswagen has helped to place China on wheels by setting out to bring private mobility to the country. Its joint ventures SAIC VOLKSWAGEN and FAW-Volkswagen were based in 1984 and 1991, fostering a relationship of mutual trust and respect. Now, the new milestone investments into e-mobility in China will facilitate Volkswagen’s and China\u2019s second nice mobility shift, towards an electrical and property future. Volkswagen Group China has already printed its route to achieving this property\u2019s future. In 2025, around 1.5 million NEVs are planned for delivery to customers across the country. By 2050, the group has committed itself to be net carbon neutral, each worldwide and in China. E-mobility can play the main role in reaching this goal, additionally supported by these new business decisions and investments.<\/p>\n","protected":false},"excerpt":{"rendered":"

\u201cThe unification of our country, the unity of our people, and the unity of our various nationalities – these are the basic guarantees of the sure triumph of our cause.\u201d<\/p>\n","protected":false},"author":4,"featured_media":1722,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-1721","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"yoast_head":"\nJAC & VOLKSWAGEN | A DUO SET TO TRANSFORM AUTOMOBILE ELECTRIFICATION - Cars for Sale in Oman | JAC Motors Oman<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/jacoman.com\/en\/blog\/jac-volkswagen-a-duo-set-to-transform-automobile-electrification\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"JAC & VOLKSWAGEN | A DUO SET TO TRANSFORM AUTOMOBILE ELECTRIFICATION - 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