Gasgoo Munich- In early February 2026, AUMOVIO Group Chairman and CEO Philipp von Hirschheydt arrived in China with a clear message: accelerate the shift of R&D resources to Asia and deepen local development. Alongside that came a pivotal announcement — the creation of a China Management Committee.
Just shortly before, AUMOVIO headquarters had unveiled a plan to reduce its R&D ratio to below 10% by 2027 — down from 11.9% in the third quarter of 2025. The restructuring is expected to affect approximately 4,000 positions worldwide, including at its headquarters in Germany.
This represents a contrast: declining global R&D spending versus increased investment in China; a corporate transformation less than a year old versus an elevated regional structure in China. These moves underscore AUMOVIO's strong focus on the Chinese market and represent a strategic shift in navigating the evolving global automotive landscape.
The China Management Committee: An Inevitable Choice, Not an Accident
For von Hirschheydt, forming the China Management Committee is an "inevitable choice" for AUMOVIO to align with global industrial trends and cope with market shifts — certainly not an impulsive decision.
AUMOVIO Group Chairman and CEO Philipp von Hirschheydt; Image Source: AUMOVIO
"Since 2017, the growth engine of the global auto market has shifted to China, while other regions are largely stagnating or shrinking," von Hirschheydt stated directly. That reality, he said, is the core rationale behind AUMOVIO deepening its commitment to China and establishing a dedicated management body.
The world is undergoing multiple transformations: urbanization is driving demand for better mobility, geopolitical shifts are turning globalization into regionalization, and the automotive industry has evolved into a mobility service carrier integrating software and autonomous driving.
China distinguishes itself in this transformation. In software-defined vehicles, autonomous driving, and automotive electronics, the market leads globally in innovation speed, implementation efficiency, and scale. Von Hirschheydt noted that China is the world's largest auto market with rapidly changing demands, making localized and customized solutions essential for capturing market share.
"Localized R&D can drastically shorten time-to-market and better align with Chinese consumer needs," von Hirschheydt emphasized. "That is a core opportunity AUMOVIO must seize."
Industry challenges are also forcing AUMOVIO to accelerate its adjustments. The global auto industry currently exhibits "regional fragmentation": China leads in software-defined vehicles and new energy, North America is seeing a trend of internal combustion engine revival, and Europe remains in a period of technological uncertainty.
This uncertainty extends to the supply chain, demanding greater flexibility and local decision-making from suppliers. Although AUMOVIO — which only began operating independently in September 2025 — inherits Continental Group's technological legacy, it must focus on core markets to gain a foothold.
Establishing the China Management Committee is about decentralizing decision-making, allowing the Chinese team to respond quickly to market shifts without navigating multiple layers of approval at headquarters.
Furthermore, AUMOVIO's global strategic shift makes this decision inevitable. Von Hirschheydt revealed that the group is reducing its European headcount to allocate more resources into Asia's high-growth markets. As the core of Asia, China naturally becomes the priority for resource allocation.
Notably, three of AUMOVIO's top 10 customers by sales in 2025 were Chinese local brands. "We need to shift the focus of value creation closer to the market," von Hirschheydt said. The China Management Committee will deliver a dual optimization of "efficiency and cost," bringing AUMOVIO closer to Chinese customer needs.
Inside the China Management Committee: Building a High-Efficiency Local Decision-Making Team
"The China Management Committee has been under preparation since the start of this year, and the team is now fully formed and operational," von Hirschheydt revealed. Its core goal is to build an independent, high-efficiency local decision-making team that frees itself from traditional structural constraints, giving the China market a genuine voice.
At the event, AUMOVIO unveiled the committee's core structure. A team blending local experience with global vision took center stage, with clear divisions of responsibility covering strategy, finance, and business operations.
Structure of AUMOVIO's new China Management Committee
Tang En serves as CEO of China, fully leading the regional organization. He also oversees China operations for the Autonomous Driving & Mobility and User Experience business units, focusing on executing strategy, enhancing competitiveness, and aligning with global headquarters.
AUMOVIO Group President and CEO of China, Tang En; Image Source: AUMOVIO
Zhang Xiaomin has been appointed Chief Commercial Officer for China and head of the Safety and Dynamics Control business unit in China. Her role involves driving business growth and maintaining customer relationships, while also coordinating the unit's development in China to drive for greater market orientation and customer focus.
Heim, a German national, serves as Chief Operating Officer for China, responsible for production operations, supply chain management, and quality control. His focus is on localizing production and procurement in China, utilizing a network of over 50 global factories to ensure efficient delivery.
Chen Yuan, who recently returned to AUMOVIO, has been named Chief Technology Officer for China and head of the Architecture and Connectivity Solutions business unit in China. He is fully responsible for technical R&D, deployment, and partner coordination in the Chinese market, serving as the key driver of the region's technical strategy.
AUMOVIO Group Chief Technology Officer of China, Chen Yuan; Image Source: AUMOVIO
"AUMOVIO possesses deep technological expertise, with core advantages ranging from chassis electronics to body domain control," Chen Yuan said. His primary responsibility is to reinforce those strengths, collaborate with local partners like Horizon Robotics to bridge gaps, and drive localized innovation focused on Chinese needs.
Von Hirschheydt emphasized that the committee's core mandate is "independent decision-making and local operation." This breaks the traditional model of "headquarters decides, region executes" by shifting significant decision-making processes to China, enabling the team to respond independently to market conditions.
Notably, the committee will not operate in isolation. It will work closely with global headquarters to combine "global resources with local innovation," serving the Chinese market while also supporting the implementation of global strategy.
Core Plans Revealed: Finding a Path Forward Amid Challenges
Establishing the Management Committee is just the first step in AUMOVIO's "heavy bet" on China. At the event, von Hirschheydt and key members outlined subsequent key plans covering R&D, business, cost, and quality, while addressing challenges head-on and demonstrating their resolve to achieve a breakthrough.
Localized R&D is a central pillar of the plan. While global R&D spending is being cut, investment in China is not shrinking but being "strategically increased," shifting resources toward areas closest to the market.
Von Hirschheydt revealed that the group is transferring R&D resources and talent from Europe to Asia, with China receiving the majority. Through localized human resource allocation, the aim is to achieve the dual goals of higher efficiency and lower costs.
Chen Yuan detailed that R&D in China will revolve around "consolidating advantages, bridging gaps, and local innovation." This means continuing to invest in traditional strongholds like chassis electronics to build a technological barrier; partnering with local players like Horizon Robotics to strengthen software and algorithm capabilities; and focusing on Chinese consumer needs to develop customized solutions that shorten time-to-market.
Regarding business expansion, the committee will focus on key customers and deepening cooperation to identify new opportunities. Zhang Xiaomin revealed that AUMOVIO already works closely with local automakers like Geely Galaxy, Leapmotor, and Chery, and plans to deepen collaboration and expand into new scenarios.
"In Chery's export projects, products developed by our team in Changchun can quickly integrate with European production resources, achieving local R&D with global delivery," Zhang Xiaomin said. This, she noted, will become a core competitive advantage for AUMOVIO's China operations.
AUMOVIO Group Vice President and Chief Commercial Officer of China, Zhang Xiaomin; Image Source: AUMOVIO
Addressing specifics of customer collaboration, Zhang Xiaomin said AUMOVIO will provide full-cycle support while concentrating resources on its three core products to boost market share.
Cost optimization is a global goal, with the focus in China on "local sourcing and manufacturing." Tang En revealed that the China region will optimize its supply chain to reduce logistics and production costs, thereby enhancing operational efficiency.
AUMOVIO also faces significant headwinds in China. The industry perception of being "lagging despite early entry," fierce competition from international peers, and the need to define the Management Committee's decision-making authority and integrate the team are all challenges that will require time and resources to overcome.
Von Hirschheydt stated that the team is the key to success, with the three strategic pillars of "Lead, Transform, Deliver" supporting AUMOVIO's breakthrough. Zhang Xiaomin also acknowledged that the Management Committee is capable of making decisions with great speed, and the Chinese team is ready to respond to market shifts.
Closing: Doubling Down on China — An Opportunity, But Also a Gamble
Toward the end of the discussion, Gasgoo posed a question to von Hirschheydt: Many multinational companies struggle in China due to lengthy decision-making processes. Can AUMOVIO's China Management Committee really change that dynamic?
Von Hirschheydt's answer was concise and confident: "We are giving the team greater autonomy so they can make decisions independently, without relying on headquarters support." He acknowledged that there are still "three or four key issues to clarify," but the core objective is clear: to build a Chinese organization capable of autonomous management.
Doubling down on China is both an opportunity and a gamble for AUMOVIO. The opportunity lies in the potential for the Chinese market to drive a significant leap; the bet is on whether the company can break the localization challenges common to multinationals, reinforce its strengths, and bridge its gaps.
For now, a clear strategy, a solid structure, and a professional team have laid a strong foundation for AUMOVIO's development in China.
