The Gentleman Magazine Issue 12 | December 2018 | Page 23

30 Years of Partnership in China:
Audi and FAW Start a Model Initiative
Audi and First Automotive Works (FAW) arecelebrating
the 30th anniversary of their partnership this Monday. The
approximately 650 guests at the anniversary event at the FAW
plant in Changchun include representatives of the province
of Jilin, of partner FAW, and of the FAW-Volkswagen joint
venture, as well as members of the boards of management of
Volkswagen AG and AUDI AG. Audi is further expanding
its local research and development competencies in order to
launch more China specific model variants and digital services.
The first electric car tailored for Chinese customers, the Audi
Q2 L e-tron, will already be launched in 2019. Local production
of the Audi e-tron will follow in 2020, one year after its market
launch in China.
China has developed into Audi’s strongest growth engine and
biggest single market. In the past 30 years, Audi has delivered
more than five million automobiles there. Sales volumes
have increased more than fivefold in the past ten years. The
models Audi A4 L, A6 L and Q5 L are especially popular with
Chinese customers, and China is the most important sales
market also for the Audi A8 L. The fourth model generation
of this luxury sedan is once again the reference for Vorsprung
durch Technik. The Audi A8 demonstrates this with style-
defining design,innovative chassis solutions, an innovative
touch operating concept and consistent electrification of the
drive system. The Four Rings were the first automobile brand
to launch services developed for China such as 3D maps and
Chinese character recognition, in order to respond precisely
to the wishes of Chinese customers. China will continue to
contribute significantly to Audi’s growth.
Herbert Diess, CEO of Volkswagen Group and Chairman of
the Supervisory Board of AUDI AG, says: “30 years of Audi
in China tell a success story of innovation, transformation
and friendship. I am looking forward to the next 30 years.”
Alexander Seitz, Audi Board of Management Member for
Finance, China, Compliance and Integrity, emphasized: “We
will use our experience to locally develop and produce even
more models specifically for China in the future.
We will continue our shared success story with the latest
technologies, digital services that focus on market needs, and
models like the Audi Q8 and Audi e-tron.” By 2022, Audi aims
to increase its local portfolio with FAW-VW to more than ten
models. The first all-electric models from Audi will also be sold
in China.
Audi currently offers six locally produced model families in
China. The Audi A4 L, A6 L, Q3 and Q5 L series are built at
the Changchun plant in the north. The Audi A3 Sedan, A3
Sportback and Audi Q2 L drive off the assembly line in Foshan
in southern China. A further step in the cooperation between
Audi and FAW is the start of Audi production in Tianjin. The
Chinese plants are making a significant contribution within
the Audi production network. Their flexible structure will
allow the ongoing gradual expansion of capacities.
In the coming years, capacity with the partner FAW-
Volkswagen can be increased to a total of more than 700,000
automobiles, depending on market demand. Audi was the first
premium brand to enter the Chinese market in 1988. As part
of a license agreement between Audi and FAW, the Audi 100
was the first model to be produced from parts kits at the FAW
plant in Changchun. In 1995, Audi production was integrated
into the FAWVolkswagen joint venture and the cooperation
was successively expanded. As a pioneer, Audi put long-
wheelbase versions of the Audi A4 and A6 on the road and,
with the Audi A6 L e-tron, offered the Volkswagen Group’s
first locally produced plug-in hybrid. In 2013, the brand with
the Four Rings inaugurated a development center in Beijing,
thus paving the way for an innovation boost in Asia. Another
important milestone for Audi in China is the assumption of
Group-wide development responsibility as a Center of
Excellence for high-voltage battery cells. In addition, the
partners are intensifying their cooperation along the entire
value chain, with connectivity services and mobility offerings.
FAW CEO Xu Liuping: “Together we have achieved numerous
pioneering milestones and thus created a successful win-win
cooperation.”
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