The construction for Audi FAW New Energy Vehicle Co., Ltd. will start in Changchun, Jilin Province, at the end of June, aimed at becoming a key milestone in Audi’s electrification strategy in China.
Audi has invested about 2.6 billion euros ($2.7 billion) in the project, including the establishment of a new company and a new production base. Audi FAW New Energy Vehicle Co., Ltd. is also the first joint venture with a majority stake from Audi in China. The new production base has a planned annual production capacity of 150,000 vehicles, and it is planned to be put into production by the end of 2024, based on premium platform electric (PPE) built for the Chinese market.
Helmut Stettner, a former manager of Audi’s Neckarsulm factory, will serve as CEO of the new company. He brings rich experience in the Chinese market, having worked as a factory and production manager at FAW-Volkswagen Changchun Base from 2011 to 2015. “China is Audi’s largest single market in the world, showing strong growth momentum, especially in the field of electric vehicles. By building this brand-new pure electric vehicle production base, Audi is taking a key step towards its future in China,” he said.
Audi predicts that by 2030, China’s high-end automobile market will grow to 5.8 million vehicles, including 3.1 million electric vehicles. This means that the sales volume of EVs will surpass that of traditional fuel vehicles for the first time.
Since September 2020, Audi has produced its “e-tron” model at the FAW-Volkswagen Changchun Base. Now, Audi will have its first factory dedicated to the production of pure electric vehicles in China. According to the plan, three models within the Audi A6 e-tron and Audi Q6 e-tron series will be put into production at the new base. Stettner said, “Eventually about 3,000 people will join the new base.”
Audi plans to bring only electric-powered vehicles into the market starting from 2026, Chief Executive Markus Duesmann told the Wirtschaftswoche weekly in an interview published on Thursday.