Volkswagen pumps €2 bil into ‘world’s biggest’ electric vehicle market

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German car maker bought stakes in JAG and battery supplier Gotion High-Tech. FMTNews Volkswagen JAG ElectricVehicle

BEIJING: Volkswagen said on Friday it will invest around €2 billion in two Chinese companies in the electric vehicle sector, calling it “the world’s biggest market”.

China’s industry ministry said in December the country should seek to ensure one in four of all vehicles sold in 2025 were either hybrids or fully-electric vehicles. The JAG investment is the first time the German carmaker will take “a strategic role in a state-owned company”, Volkswagen China CEO Stephan Woellenstein said in a statement.The lifting of coronavirus lockdowns in China has given the stuttering auto industry a jumpstart, with sales rising for the first time in two years as buyers return as the health crisis eases and restrictions on travel and businesses are lifted.

 

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