VW to develop plug-in hybrids, EVs with SAIC

Volkswagen Group plans to develop three plug-in hybrids and two full-electric vehicles in China with local partner SAIC Motor Corp.

Under an agreement the two companies signed June 27, the five electrified models will go on sale from 2026 through 2030, SAIC said, without disclosing what brands the new models will fall under.

The move represents the latest effort by the German auto giant to better engage local automakers to accelerate the development of electrified vehicles.

On May 20, VW Group also inked a similar deal with SAIC to jointly create an intelligent EV platform, called the Advanced Digitized Platform, for Audi. 

Production of the first Audi vehicle developed on the platform will begin in 2025, according to SAIC-VW.

SAIC-VW, in Shanghai, builds and markets gasoline-powered vehicles for VW, Audi and Skoda. It also produces and distributes electrified models for the VW and Audi brands. 

Vehicles assembled at SAIC-VW are developed with technologies from VW Group. 

In February, VW Group disclosed a plan to develop two compact EVs for the VW brand with Xpeng after purchasing a 4.99 percent stake in the Chinese EV startup.