On November 25th, Volkswagen AG in Germany made an announcement: it has now acquired the capability to independently manufacture electric vehicles (EVs) entirely in China, achieving cost reductions of up to 50% compared to production in other regions. As Europe's largest automaker, Volkswagen revealed on Tuesday that, following a series of strategic investments in China, the company is, for the first time, capable of undertaking a complete new car development process outside of Germany. This encompasses the deployment of cutting-edge technologies, including testing and assisted driving systems.

Volkswagen has outlined plans to introduce approximately 30 electric vehicle models to the Chinese market over the next five years, marking a significant escalation in its localized research and development (R&D) endeavors. The automaker highlighted that, owing to enhanced supply chain efficiency—such as favorable conditions in battery procurement—alongside shorter development cycles and reduced labor costs, the production expenses for certain models in China have been slashed by as much as 50% when compared to the cost levels in Germany in 2023.