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Published on : May 27, 2015

Just a couple of days back, the Volkswagen Group’s recent active production facility launched its very first car off the line. The Changsha plant of Volkswagen is anticipated to boost the production capacity of the German automaker in the Asia Pacific market by around 300,000 units every year.

According to the Global Times on 24th of May, a brand new sedan named - Lavida arrived off the assembly line in the Changsha facility of Volkswagen. The mentioned car will be the unit’s one and only offering at the present moment, until the manufacturing unit plans to expand and include some of the other vehicles such as Skoda A0 SUV and the Touran compact MPV.

As every major automobile manufacturers across the globe are taking efforts at cashing in on the auto market in China, and to all this the Volkswagen Group stands with no exception. In the previous year, Volkswagen made sales of some astounding 3.68 million vehicles in the mainland China, which is more than any other manufacturer on the planet. 

Jochem Heizmann, the chief executive officer of Volkswagen group in China stated that the passenger cars market in the nation has started to cool, which has been suggesting that the age of two-digit segment growth might be limited. However, it will still be growing at a fast pace than any other area across the globe.

Heizmann is estimating a growth rate around 5% to 8% in the next five years.

In the mean time, the SUV vehicles segment is still growing progressively in the market of China, by around 40%, as per the information provided by the Global Times. Furthermore, Heizmann has suggested that the Volkswagen Company is aware of the popularity of the segment, and the German-based automobile manufacturer will be bringing out many new SUV models in the coming years in China.