SHANGHAI – Shanghai-Volkswagen has finished the foundation work for its 5th plant, which is scheduled to be put into operation in 2012, according to Jia Mingdi, general manager of Shanghai-Volkswagen Sales Co. When the plant is in place, the capacity pressure on the joint venture will be eased, said Jia.
Shanghai-Volkswagen started construction of its 5th plant in Yizheng of Jiangsu Province in July 2010. The facility has a designed output capacity of 300,000 units, and will be the third production base of the JV after the Anting and Nanjing bases.
Shanghai-Volkswagen sold over one million cars in 2010 with sales of its Skoda brand exceeding 200,000 units, accounting for more than 20 percent of its total sales, auto.qq.com reported.
In 2011, Shanghai-Volkswagen expects a sales growth rate of 10-20 percent, as revealed by Jai. The company will expand more dealers in the 2nd– and 3rd-tier cities for Skoda brand, which is expected to occupy 28-30 percent of Shanghai-Volkswagen’s total market share in the coming years, according to Jia.