Volkswagen plans to start light commercial vehicles in China

According to news from Germany’s Frankfurt Report, Volkswagen Group plans to start light commercial vehicles in the largest single market in China.

At the press conference, Eckhard Scholz, head of the Volkswagen Commercial Vehicles Management Committee, said that China is not only the largest market for Volkswagen’s passenger cars, but also has great potential in the light commercial vehicle market, according to estimates. The scale is about 2.5 million vehicles and is currently being dominated by Chinese local car dealers; VW is considering entering China's light vehicle market and putting it into operation locally.

Scholz pointed out that the light trucks and micro-fabricated models of the current public light commercial vehicles are not enough to compete with the local car dealers in the Chinese market and are therefore negotiating with the two joint ventures in China. Volkswagen may consider launching low-priced entry-level light commercial vehicle products to enter China, but it is not sold as a mass brand.

The concept of putting into operation in China is regarded as one of the components of the internationalization strategy of commercial vehicles for the general public. Last year, Volkswagen’s commercial vehicles sold 550,370 vehicles worldwide, a year-on-year increase of 4.1%; operating income increased 5.2% year-on-year to 9.45 billion euros, and operating profit fell 6.1% year-on-year to 421 million euros. As the European auto market further fell into the quagmire, Volkswagen Commercial Vehicles decided to reduce its dependence on the European market.

Scholz was originally a member of the Skoda Management Board and was responsible for technology development. In September last year, Volkswagen Group made the largest personnel change in history, and its position was adjusted during this period.

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