Volkswagen China EV JV Skips New Models 2027‑28
Volkswagen’s electric‑vehicle joint venture in China, Volkswagen Anhui, has announced that it will not introduce any new models in either 2027 or 2028, according to two sources cited by Reuters. The venture, which launched the UNYX brand in July 2024, currently offers a four‑car line‑up that has failed to attract the young, urban consumers it targeted, and a crossover that had been considered for a 2028 launch is now on hold.
From January to September 2026 the venture sold 11,360 UNYX vehicles, while an internal document reviewed by Reuters shows it aims to build 33,000 vehicles in 2026 and has set an "ambitious" target of selling 128,000 units in 2027. The venture’s partnership with Chinese EV maker Xpeng on the ID.UNYX 08 SUV has not delivered the expected sales, with volumes since the April launch far below target.
The Anhui manufacturing plant, capable of producing up to 350,000 vehicles annually, is operating far below that capacity. In the same period, Volkswagen sold more than 1.3 million vehicles in China, a 30 % decline year‑on‑year, compared with an overall market contraction of almost 22 %. China’s overall car sales are projected to fall 20 % for the year, and Volkswagen has attributed its weakest quarterly loss in over a decade to the weak Chinese performance.
Volkswagen Anhui remains 75 % owned by Volkswagen and has yet to turn a profit; finance chief Arno Antlitz indicated the venture is expected to break even only by 2030. Separately, Volkswagen reported a record sale of 28,000 new‑energy vehicles in October, representing more than a four‑fold increase month‑on‑month.