FAW and VW sign cooperation agreement in Guangdong

Gasgoo.com (Shanghai December 2) - VW AG and FAW Group have officially signed an agreement to extend their strategic partnership until 2016, Gasgoo.com (Chinese) reported this weekend. The signing was held at the most recent FAW-VW board chairman conference in Foshan, Guangdong, and was attended by VW CEO Martin Winterkorn and FAW Board Chairman Xu Jianyi.

The two companies will cooperate on introducing new products to China and expanding their sales network in the country. The agreement represents a new phase of bilateral cooperation for VW and FAW, and is a step beyond the agreement signed in Wolfsburg, Germany, which saw both sides agreeing to extend their JV partnership for another 25 years.

Commenting on the agreement, Mr. Xu said that the two companies' partnership will be based on mutual respect and trust, with the goal of benefiting both parties. Mr. Xu believes that the agreement will be the foundation of a long-standing partnership between VW and FAW.

The FAW-VW joint venture was established in 1991. It is now one of China's largest and most successful Sino-foreign JVs.