Tag Archives: strengthening

BMW Group is electrifying Plant Araquari

São Paulo/Munich. The BMW Group is strengthening its involvement in Brazil by electrifying the Araquari plant. Following a historic gross sales document for electrified automobiles in Brazil final 12 months, the BMW Group is saying native manufacturing of the BMW X5, the very first premium plug-in hybrid mannequin inbuilt South America. The technologically superior and highly effective car is produced on the BMW Group plant in Araquari along with the BMW X1, BMW X3 and BMW X4 in addition to the BMW 3 Series for the native market.

“At the BMW Group, production follows market demand. Last year, BMW Group Brazil achieved a record of 25% share of electrified vehicles within the sales mix. In addition, the BMW X5 was the third-best model of the entire BMW line-up in Brazil. It is a logical conclusion for us to announce the production of the BMW X5 plug-in hybrid in Brazil now,” says Michael Nikolaides, Head of Production Network and Logistics at BMW Group. “We are committed to technology openness. In this context, PHEVs are and will remain an important part of our offering. Now, for the first time, we are bringing this technology to a South American production facility. The BMW Group plant in Araquari has a flexible production line. I am proud to say that Plant Araquari will be the only one to produce ICE, PHEV, and Flex-fuel models in the whole BMW Group production network. Depending on market demand, we can get ready to produce hybrid or electric models in a short period of time. In the next step, we will build PHEV and ICE vehicles on one line.”

Since 2014, the BMW Group has been manufacturing for the native market in Araquari, Brazil, within the state of Santa Catarina. The Araquari plant has its personal Body Shop, Paint Shop, Assembly, Quality and Logistic processes. Along with a BMW Group Engineering Office, which is a part of the plant’s amenities. In December 2023, the BMW Group introduced a ten% improve in manufacturing on the Araquari plant from 2024 to achieve an annual manufacturing of 11,000 items. In addition, the workforce is being constantly elevated and skilled to supply electrified automobiles.

Volkswagen Group strengthens its Technical Development Board perform in China

The Volkswagen Group is strengthening its Technical Development Board perform within the China area as a part of its “In China, for China” technique. Thomas Ulbrich, former Member of the Board of Management of the Volkswagen Brand for “New Mobility”, will head up Technical Development for the Group in China from April 1, 2024. In his new capability, Ulbrich, who has already held two administration positions for the Group in China, will proceed to advance the technological localization of the portfolio. He succeeds Marcus Hafkemeyer, who – along with his intensive expertise of China – will assist the corporate’s transformation in a brand new position within the Group.

“The Volkswagen Group’s ‘In China, for China’ strategy is about systematically adapting to the dynamic changes taking place in China’s automotive industry. A high degree of localization will allow us to cater to the wishes of our Chinese customers. I would like to thank Marcus Hafkemeyer, whose outstanding personal commitment and broad expertise in China have really moved forward Technical Development’s regional focus, for example through the establishment of our new development center in Hefei,” stated Ralf Brandstätter, Member of the Board of Management of Volkswagen AG for the China area and CEO of Volkswagen Group China.

“Thomas Ulbrich, one of our top development and software experts, will now continue to advance the localization and networking of our Group’s development activities in the region. Ulbrich has exceptional expertise in important future technologies and excellent connections in the company and the China region. One of his priorities will therefore be to further strengthen the collaboration with our joint venture companies FAW-Volkswagen, SAIC Volkswagen and Volkswagen Anhui. I firmly believe that this will be an important source of impetus in our transformation to smart e-mobility”, Brandstätter added.

In his new position, Thomas Ulbrich will even be the CEO of Volkswagen China Technology Company (VCTC) in Hefei in jap China. The Group’s greatest growth heart exterior Germany is the central growth unit of Volkswagen Group China, which focuses squarely on clever, totally linked electrical automobiles.

VCTC will subsequently play a key position within the growth of particular fashions for China. One of the issues being developed there’s the primary native electrical platform, which is able to kind the premise for brand spanking new Volkswagen model fashions in China from 2026.

By implementing environment friendly growth processes and utilizing state-of-the-art applied sciences, VCTC will scale back the time to marketplace for automobiles and parts by 30 p.c. Further synergies shall be leveraged by intently interweaving growth work with the three way partnership corporations SAIC Volkswagen, FAW-Volkswagen and Volkswagen Anhui in addition to with Gotion (batteries) and Chinese automaker XPENG. Partners Horizon Robotics (autonomous driving), ARK (person expertise) and Thundersoft (infotainment) will even be integrated, working intently with Volkswagen’s software program arm CARIAD.

After a pioneering part, the “New Mobility” Board of Management division of the Volkswagen Passenger Cars model shall be transferred to Technical Development (TE) as deliberate to make sure environment friendly constructions and stronger networking. Thomas Ulbrich particularly examined and established new software program growth processes for electrical automobiles based mostly on MEB within the “New Mobility” division. The switch of those actions to the MQBevo has already taken place as deliberate, and the “New Mobility” division’s mission has been completed. Kai Grünitz, Member of the Board of Management of the Volkswagen model chargeable for Technical Development, will in future handle the technical venture administration for future applied sciences and growth underneath one roof.

Additional Information
Thomas Ulbrich studied automotive engineering at Hamburg University of Applied Sciences. In 1992, the engineering graduate began his profession in plant logistics at Wolfsburg, the place he assumed a administration position in 1995.

In 1996, he turned head of logistics at FAW-Volkswagen in Changchun, China. Two years later he assumed duty for meeting “segment II” on the Wolfsburg plant earlier than changing into head of plant logistics at Emden in 1999.

The subsequent stage of his profession took him to AUTO 5000 GmbH in Wolfsburg, the place he was technical managing director and speaker of the administration board from 2001 to 2008. He turned Board of Management member for Production at Volkswagen Commercial Vehicles in Hannover in 2008.

Ulbrich moved to SAIC VOLKSWAGEN, China, as Technical Executive Vice President in 2010, taking cost of growth in addition to manufacturing and logistics at a complete of 5 places.

From April 2014 till January 2018, Thomas Ulbrich was chargeable for Production and Logistics as Member of the Board of Management of the Volkswagen model. From February 2018 till January 2021 he was Member of the Board of Management of the Volkswagen model chargeable for E-Mobility. Since February 2021, he has been a member of the Brand Board of Management chargeable for Technical Development at Volkswagen Passenger Cars and took over the newly created “New Mobility” Board perform at Volkswagen Passenger Cars efficient October 1, 2022.

More e-models for fast-growing e-mobility market in China: VW brand and Audi agree strategic cooperations with local automakers

The Volkswagen Group is strengthening its position on the Chinese automotive market with cooperations between the VW brand and XPENG and between Audi and SAIC. The Group is thus forging ahead with its local electrification strategy. The aim is to swiftly tap into new customer and market segments, thereby systematically leveraging the potential of China’s dynamically growing e-mobility market.

The VW brand has signed a technological framework agreement with XPENG. The initial stage of the cooperation involves the joint development of two VW brand electric models for the mid-size segment in the Chinese market. These vehicles will complement the existing MEB product portfolio and will be launched in China in 2026, subject to final agreements.

As part of the strategic cooperation, the Volkswagen Group will invest approximately US$700 million in XPENG, a Chinese manufacturer of intelligent electric cars. Volkswagen will acquire a 4.99 percent stake in XPENG through a capital increase, at a price of US$15 per ADS (*). Volkswagen will also have a seat as an observer on the XPENG board of directors. The share issuance is subject to customary closing conditions and regulatory approvals.

Audi has signed a strategic memorandum with SAIC, its Chinese joint venture partner, to expand their ongoing cooperation. The goal is to quickly and efficiently develop a portfolio of fully connected electric vehicles in the premium segment. The collaboration will begin with electric models that Audi currently does not offer in China.

The jointly developed e-models will feature advanced software and hardware, providing a connected digital experience for Chinese customers. Each partner will contribute their core competences to the development process.

Furthermore, both agreements include plans for future joint development of new local platforms for the next generation of intelligent, fully connected vehicles (ICV). These partnerships aim to expand the Group’s product range with additional models specifically tailored to the Chinese market, targeting promising customer and market segments. The details of cooperation on future e-platforms will be further negotiated between the partners.

Ralf Brandstätter, Volkswagen AG Board Member for China, stated: “Local partnerships are an important part of the Volkswagen Group’s strategy in China. We are accelerating the expansion of our local electric portfolio and preparing for the next step of innovation. With XPENG, we have gained another strong partner that excels in key technology areas in China’s competitive and dynamic market. By leveraging the strengths of Volkswagen and our partners, we can bring products to market faster and focus on the specific needs of our customers in China, while optimizing costs for development and procurement.”

Volkswagen Group (China) Technology Company takes responsibility for developing new Volkswagen models

The recently established Volkswagen Group China Technology Company (VCTC) will serve as the development partner for XPENG. This new center, located in Hefei, is the largest development location for the Group outside of Wolfsburg. Over 2,000 development and procurement experts will work on new intelligent, fully connected electric vehicles.

Efficient development and procurement processes will generate significant synergy potential and cost advantages compared to current vehicle projects.

Partnerships as part of the Group’s “in China for China” strategy

These collaborations align with the Volkswagen Group’s “in China for China” strategy, which aims to address market trends in China and leverage the growth and innovation of the Chinese market more effectively. To expedite decision-making and development processes in the region, Volkswagen is strengthening its local capacities for e-mobility, digitalization, and autonomous driving.

To achieve this, Volkswagen is expanding its Hefei plant in Anhui Province, turning it into a state-of-the-art production, development, and innovation hub. Production at the new vehicle plant in Hefei is set to begin this year. Additionally, VW Anhui Component Company is constructing a manufacturing facility for high-voltage battery systems in Hefei. Volkswagen Group China Technology Company is also establishing a development and procurement center for fully connected, intelligent electric vehicles in Hefei.

The Volkswagen Group is also prioritizing partnerships with local high-tech companies. For Volkswagen Group China, localized high technology and customer-oriented approaches are key to playing a leading role in the era of intelligent, connected vehicles.

(*) ADS = American Depositary Share, 1 ADS represents 2 Class A Shares

Quotes from the partners

VW brand and XPENG

He Xiaopeng, Chairman and CEO of XPENG: “The Volkswagen Group and XPENG each brings highly complementary strengths into this long-term strategic partnership. We will share Smart EV technologies and world-class design and engineering capability with each other and learn from each other. Since the founding of XPENG, we have been developing full-stack technologies from EV platform to connectivity and ADAS software in-house. We are excited about the opportunity to contribute our expertise to the strategic partnership and create value for XPENG and our shareholders.”

Stefan Mecha, CEO VW Brand Region China: “The VW brand has a long-term electrification strategy for the Chinese market. We will continue to rely on our high-performance MEB and SSP architectures. With the growth of the electric segment, there are now more market opportunities that we want to explore. By partnering with XPENG, we plan to introduce two additional fully connected electric vehicles starting from early 2026, thus attracting new customer groups for the VW brand.”

AUDI AG and SAIC

Jürgen Rittersberger, Member of the Board of Management of AUDI AG responsible for Finance, IT, and Legal Affairs: “Audi has a strong electrification plan for the world’s largest automotive market. This step is a continuation of our plan. Building on the successful cooperation in the past two years, we are further committing to SAIC for the long term. Our goal is to jointly develop next-generation premium ICVs quickly and efficiently ‘in China for China’. Closer collaboration with a local partner like SAIC supports Audi’s ambition to establish a premium market segment for all-electric, fully connected cars in China.”

Zu Sijie, Vice President and Chief Engineer of SAIC Group: “SAIC and Audi have signed a memorandum of understanding. Both parties will accelerate SAIC Audi’s development of the model portfolio for electrification, leveraging the advantages of both sides to meet the needs of Chinese customers for premium electric intelligent connected vehicles. With SAIC contributing technology and actively participating in joint product development, we are embarking on a new chapter in joint venture cooperation, aiming for a win-win situation.”