Volkswagen plans to use technology developed in China in overseas markets, including South America and South Africa. The shift marks a move away from its previous “In China, for China” strategy. Volkswagen now aims to turn its China operations into a cost-efficient development and export hub to strengthen its global competitiveness.
The automaker plans to integrate its China-developed Compact Main Platform and China Electronic Architecture into next-generation models for the Global South. Rollout is expected to begin before the end of the decade.
The strategy follows mounting pressure from local EV competitors and declining sales in China. Volkswagen aims to capitalize on the faster development times and lower costs of its Chinese R&D center.