(Invest in China) Interview with the CEO of Volkswagen China: China will shape the trend of electric mobility and car digitalization
China News Service, Beijing, February 1 (Reporter Wang Enbo) In 2020, China's new energy vehicle market will overcome the severe impact of the epidemic, and its annual sales will increase by more than 10% against the trend, becoming the focus of promoting the transformation and upgrading of consumption and the automotive industry.
Volkswagen Group (China) CEO Feng Sihan (Stephan Wöllenstein) said in an exclusive interview with a reporter from China News Agency recently that China will shape the trend of electric mobility and automobile digitalization.
Speaking of foreign brand cars, many Chinese who have experienced the 1980s and 1990s will think of three words-"Santana".
This classic Volkswagen model entered the Chinese market in 1985 and is the first joint venture car made in China.
Feng Sihan said with emotion that from a small test in the field of joint ventures in the 1980s to the continuous opening up to the outside world in the early 21st century, personal car consumption has grown exponentially. The ever-opening market environment has promoted the upgrading of Chinese consumption, and the Chinese car market has also achieved unprecedented development.
In the past 40 years, the Volkswagen Group has achieved a market share of nearly 20% in China, and has even become a microcosm of the development trend of the Chinese automobile market to a certain extent.
Since last year, the global auto market has been affected by the epidemic, but China has remained strong.
As of the end of 2020, China's car ownership has reached 281 million, making it the world's largest car producer and consumer market.
Feng Sihan said that investment and export growth have driven the market's V-shaped reversal, and the Chinese auto market has gradually recovered with the recovery of the macro economy.
Since the second quarter of last year, the sales volume of Volkswagen Group (China) also showed a rapid rebound trend.
He also noted that the Ministry of Transport of China recently issued a series of measures aimed at promoting the industrialization of autonomous driving technology.
“It can be seen that autonomous driving and intelligent connected vehicles are no longer just visions, but are gradually approaching reality. China will not only maintain its status as a powerhouse in the world's auto industry for a long time, but it will also shape the trend of electric mobility and auto digitalization.”
However, new energy as a new thing has also received a lot of criticism.
Especially the shortcomings of inconvenient charging and short battery life of electric vehicles have discouraged some consumers.
Feng Sihan analyzed that there are currently two problems in the layout of charging infrastructure: one is that the coverage density of charging stations is insufficient compared to gas stations; the other is that charging parking spaces are difficult to guarantee.
He believes that although technically electric vehicles can achieve longer cruising range, from a strategic point of view, ultra-long cruising range is not the only option.
Improving battery technology and charging infrastructure to achieve balanced development will be a better solution.
Under the background that new energy has become a general trend, the Chinese auto market has huge business opportunities.
China has also taken the initiative to share this opportunity with the world through measures such as expanding opening up and improving the business environment.
"The Chinese government has gradually liberalized the restrictions on the shareholding ratio of joint ventures and expanded the degree of market openness, so that foreign companies have more investment and development opportunities in China." Feng Sihan introduced that Volkswagen Group previously purchased 50% of Jianghuai Automobile's parent company Jianghua Automobile Holdings. And increase its holdings of Jianghuai Volkswagen shares to 75%.
In December last year, the joint venture was officially renamed "Volkswagen Anhui" as the Volkswagen Group increased its holdings of JAC Volkswagen shares to 75% of the investment and delivery.
He said that China is earnestly fulfilling its reform and opening up commitments, and Volkswagen will further increase its investment in the new energy market and make good use of the opportunities brought by reform and opening up to further explore the Chinese market.
A few days ago, the negotiation of the China-EU Investment Agreement was completed as scheduled, which became another footnote to China's opening up.
Feng Sihan believes that the agreement will rebalance the economic relations between Europe and China and fully improve the access conditions for European companies to enter the Chinese market. He believes that fair competition will stimulate innovation and promote and promote mutual investment and growth.
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