Volkswagen – Increase investment in China on the electric

Another shot of throttle on the electric. In China, the Volkswagen is negotiating to expand its business in China by increasing the shares in the joint-venture with JAC (from the 50% should go to 75%), but above all, through two separate investments in six local companies. The amount committed by the German manufacturer would amount, in total, 2.1 billion euros.

It also invests on the batteries. A little less than a quarter of the capital (around € 450 million) will be used to acquire the 50% of the Anhui Jianghuai Automobile Group Holding company, a subsidiary of the JAC, already a partner of Volkswagen in the production of electric cars. Wolfsburg would then become the main shareholder of the Guoxan High-tech Co., a company which manufactures lithium-ion batteries. The measured level would be equal to approximately 27%.

You wait for the official announcement. Operations, anticipated from the agency Reuters, are not yet concluded and, for the moment, none of the stakeholders has commented on the story. The official announcement should arrive shortly.

Source: Quattroruote.en – Edited by Anthon K.