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· Audi reorganized its business in China and established two new companies with FAW
On March 7th, as one of the important steps to implement the 10-year business plan of the two parties in China with the partner China First Automobile Co., Ltd., Audi AG, China First Automobile Group Co., Ltd., Volkswagen AG, signed in Geneva Two future memorandums of joint venture cooperation, comprehensively upgrade mutually beneficial and friendly cooperation, expand and accelerate the layout of emerging businesses, better close to and meet the needs of Chinese consumers, promote the long-term development of the Audi brand, and fundamentally reorganize Audi's business in China.
The two memorandums are the Memorandum of Understanding on the Establishment of FAW-Audi Sales Company and the Memorandum of Understanding on Establishing a New Joint Venture for Mobile Travel and More Digital Business Related Services, by China First Automobile Group Co., Ltd. and Audi AG Volkswagen AG, Volkswagen (China) Investment Co., Ltd. and FAW-Volkswagen Automotive Co., Ltd. signed the agreement. According to the memorandum, the partners will set up a new “FAW-Audi Sales Company†and “FAW Audi Mobile Travel Service (China) Co., Ltd.†in 2018.
The parties decided to establish FAW-Volkswagen Automotive Co., Ltd. to establish FAW-Audi Sales Company and further enhance and expand the business structure based on the existing business functions and organization of the FAW-VW Audi Sales Division. User-oriented, continuous creation and leadership of user needs. In other words, the new sales company is a wholly-owned subsidiary of FAW-Volkswagen. At present, the functions of the FAW-VW Audi Sales Division will be integrated into the new company. After the establishment of the new sales company, it will have personnel, finance, procurement and other functions, and the market reaction and decision-making process will be more concise and efficient. The new sales company will continue to promote the development of dealer networks, enhance existing business and profitability, and enhance customer service. Joachim Wedler, general manager of Audi China, said: "After the establishment of a new independent FAW-Audi sales company, in the next few years, we can start our large-scale product plan under the best conditions with a faster decision-making process." Audi and partner FAW-Volkswagen will continue to expand its product portfolio in China, launching more imported models and locally produced models. In the next five years, the plan will include the manufacture of four pure electric vehicles in China.
The upcoming FAW Audi Mobile Travel Service (China) Co., Ltd. is jointly funded by FAW, Audi, FAW-Volkswagen and Volkswagen China, focusing on the emerging digital sharing and mobile travel areas, providing Chinese users with comprehensive and personalized high-end travel. Experience. Wei Yongxin further said: "China is playing a pioneering role in the digital field. In the future, we can respond more flexibly to customer needs and provide new digital concepts." Among other projects, the new mobile travel company will take over 2017 9 Audi on demand high-speed mobile travel service launched in Beijing.
It is expected that by the end of 2018, the two new companies will begin operations.
It is understood that with the confidence in the future development potential of China's high-end car market, Sino-German shareholders are continuing to increase investment in FAW-Volkswagen: in the construction of new factories, in 2018, FAW-VW Changchun “Q Factory†producing Audi models and The second phase of Foshan Base will be completed and put into production; in the research and development of new energy products, by 2020, five Audi brand new energy models will be introduced into the Chinese market; in the new business layout, by 2022, FAW-VW Audi will achieve 100% pre-installation of the Internet. . At the same time, the parties are increasing their investment, launching the “brand up plan†of the Audi brand, and using the “product advisory committee†and other innovative forms to more solicit and input voices from the Chinese market.