Volkswagen Opens Hub in Hefei to Develop Cars for China

Volkswagen Group China Technology Company (VCTC) has opened workshops in Hefei, Anhui. This event marks the completion of the expansion for the centre. The group can now develop platforms and technologies within China. Validation also takes place at this site. This shift moves processes for approval outside Germany.

The site covers 100,000 square metres. The complex houses 100 laboratories. These units combine testing for hardware and software. Teams validate powertrains and batteries. Verification for platforms happens at the location. The hub integrates the cycle for design, construction, testing and validation.

Facilities cut time for development by 30 per cent. The launch speeds up the Architecture for Electronics in China (CEA). Users get features for cockpits and systems for assistance during driving. Updates over the air arrive sooner. The cost for a model can drop by 50 per cent in projects.

Oliver Blume, CEO of Volkswagen Group, said the strategy "In China for China" has momentum. The centre creates conditions to manufacture vehicles with intelligence and connectivity. Efficiency increases. The group targets the position of "Driver of Technology" in the market.

Ralf Brandstätter, Chairman of Volkswagen Group China, highlighted the competition in the market. Buyers demand quality and innovation. The footprint in Hefei strengthens the ability to meet needs. Development happens near the point of use.

VCTC acts as the hub for R&D outside the market of home. It focuses on cars with electricity and connectivity. The company integrates units for decision-making. It coordinates with ventures. This integration helps address trends like digitalisation and driving with autonomy.

Engineers test 500 systems for batteries per year. Tests measure performance, safety and lifetime. The centre checks components for electronics and management of heat. The Laboratory for Electromagnetic Compatibility ensures reliability for systems. A bench for durability mimics conditions on roads.

The group plans to expand capabilities. The Laboratory for Functions Integration Test will start operations in 2026. This unit will simulate conditions in environments.

Exports from the hub will reach regions like the Middle East and ASEAN. Safety and durability remain the focus.

Volkswagen Group has headquarters in Wolfsburg, Germany. It operates facilities in Europe, the Americas, Asia and Africa. The group employs 680,000 people. Vehicles sell in 150 countries. In 2024, the group delivered 9 million vehicles. Revenue for sales totalled 324 billion Euros. The result for operations amounted to 19 billion Euros.

The group invests in vehicles with electricity and driving with autonomy. The goal is to shape the future of mobility. Innovation taps into pools for profit. Leadership aims to make technology accessible to customers.