Milestone of “In China, for China” strategy: First car developed jointly by Volkswagen and XPENG rolls off the production line

The market launch of the ID.UNYX 08 is planned for the first half of this year. As part of its largest product offensive for electric vehicles to date, the Group will launch 20 new, locally developed models in China this year alone.

Oliver Blume, CEO Volkswagen Group: “Three years ago, we launched our strong China strategy – It is now unleashing its full power. The ID.UNYX 08 is the next impressive proof of this. The car was developed in China for China, with German engineering and local cutting-edge technology.

Brought to market at high speed – and at attractive prices - vehicles like the ID.UNYX 08 are part of our ambition to become the global automotive tech driver."

Ralf Brandstätter, Member of the Board of Management of Volkswagen AG responsible for China, and Chairman and CEO of Volkswagen Group China, said: " Our ´In China, for China´ strategy is delivering results. With the ID.UNYX 08, we are launching the Group's largest electric vehicle offensive in China. On average, the Volkswagen Group is launching one new electric car every two weeks this year. That's ´China Speed.´ The ID.UNYX 08 is the first Volkswagen model in a new generation of smart electric vehicles that will carry our strengths into the electric age. The car is fully tailored to Chinese customer needs, equipped with cutting-edge technology, and was developed locally in less than two years. This underscores the implementation strength of our partnership with XPENG."

He Xiaopeng, Chairman and CEO of XPENG, said: “With the ID.UNYX 08 entering series production, our cooperation with Volkswagen Group has delivered a tangible result. Built on mutual trust and close collaboration, this partnership allows both sides to combine our strengths and create long-term value. We look forward to continued cooperation and a win-win future.”

Building Momentum for the Next Phase of Growth in China
In the fast-evolving ICV era, the Volkswagen Group is driving forward its transformation with its "In China, for China" strategy. Following three years of consistent transformation, the Group is steadily building momentum through a robust NEV product portfolio and locally developed ICV technologies, laying the foundation for the next stage of its transformation. The linchpin of this progress is the reinforcement of local R&D capabilities and integrating deeply into the local ecosystem supported by strategic, targeted partnerships.

In 2023, Volkswagen Group has entered a long-term partnership with XPENG, focusing on product development and technological innovation at scale leveraging core competences of both companies.

This collaboration has resulted in the joint development of two all-electric models. Following the ID.UNYX 08, the second Volkswagen model from this cooperation will also make its debut and hit the market within this year.

VCTC is the driving force behind the development of cooperation models
The VCTC acts as XPENG’s development partner for the cooperation models. While integrating local innovations, VCTC led the definition of product design, technical validation and release, quality standards, and driving dynamics tuning — ensuring the model upholds the brand’s DNA of rigorous quality, safety and hallmark driving experience.

Meanwhile, VCTC, the Group’s software centre CARIAD China, and XPENG have jointly developed Volkswagen Group’s first locally engineered zonal electrical and electronic architecture — the China Electronic Architecture (CEA). Future-ready for all Volkswagen brand’s domestic models, it will cover both NEVs and fuel-powered vehicles. The first model based on the CEA is scheduled to enter the market this year.

Kicking-off the Volkswagen NEV product campaign
Building on its successful shift into a strategic “Delivery Mode” in 2025, the Group will further ramp up the momentum for rolling out its next-generation products and technologies in 2026, with more than 20 new NEV models scheduled for launch throughout the year. By 2030, 50 new NEV models will be introduced to the market. Backed by consistent strategic execution, a robust and forward-looking product portfolio, as well as market-leading technologies, the Volkswagen Group is fully poised to compete more proactively in China’s NEV market and maintain its position as the top international car manufacturer in China, while playing a leading role in China’s ICV era.

¹⁾ The vehicle is not offered for sale in Germany.

Pietro Zollino
Corporate Communications
Deputy Head of Group Communications & Head of Corporate Communications
+49 (0) 172 8371 431
pietro.zollino@volkswagen.de | www.volkswagen-group.com

Dr. Christoph Ludewig
Corporate Communications
Head of Strategy & Finance Communications
+49 (0) 1522 2 997528
christoph.ludewig@volkswagen.de | www.volkswagen-group.com

Christopher Hauss
Corporate Communications
Head of International Communications
+86 150 1090 1306
chris.hauss@volkswagen.com.cn | www.volkswagen-group.com

Kate Thompson
UK Corporate Communications
+44 (0) 7713 265562
kate.thompson@vwg.co.uk | www.volkswagengroup.co.uk

About the Volkswagen Group
The Volkswagen Group is one of the world's leading car makers, headquartered in Wolfsburg, Germany. It operates globally, with 111 production facilities in 16 European countries and 10 countries in the Americas, Asia and Africa. With around 663,000 employees worldwide. The Group’s vehicles are sold in over 150 countries.

With a comprehensive portfolio of strong global brands, leading technologies at scale, innovative ideas to tap into future profit pools and an entrepreneurial leadership team, the Volkswagen Group is committed to shaping the future of mobility through investments in electric and autonomous driving vehicles, digitalization and sustainability. The goal: As a “Global Automotive Tech Driver”, to make the best automotive technologies accessible to customers worldwide - from entry-level mobility to the luxury segment.

In 2025, the total number of vehicles delivered to customers by the Group globally was 9.0 million (2024: 9.0 million). Group sales revenue in 2025 totaled EUR 321.9 billion (2024: EUR 324.7 billion). The operating result in 2025 amounted to EUR 8.9 billion (2024: EUR 19.1 billion).

Volkswagen Group in China
The Volkswagen Group is one of the first and most successful international car manufacturers in China’s automobile industry and has made individual mobility possible together with its Chinese Partners. For over 40 years, the Volkswagen Group and its brands have always been pioneers of mobility in China.

The company’s success story in China began in 1978, when Chinese partners first made contact with the Volkswagen Group. In 1984, SAIC Volkswagen Corporation Ltd., Volkswagen Group’s first joint venture in China, was founded in Shanghai, followed by FAW-Volkswagen Corporation Ltd. in 1991. In 2017, in addition to the two existing joint ventures in China, Volkswagen (Anhui) Automotive Company Limited was established to produce new energy vehicles. Then, in 2021, the Audi FAW NEV Company was incorporated, focusing on premium electric vehicles.

The Volkswagen Group is consistently following its “In China for China” approach to enhance local development expertise. In 2023, Volkswagen Group China Technology Company (VCTC) - the Group’s biggest R&D center outside Germany - was established, focusing exclusively on the development of intelligent connected vehicles (ICVs). VCTC enables the Group to fully integrate itself into China's industrial ecosystem and to customize products even faster to meet the needs of Chinese customers.