SAIC Volkswagen signs cooperative agreement with Audi, two suspense needed to be solved

SAIC Volkswagen signs cooperative agreement with Audi, two suspense needed to be solved

Gasgoo.com (Shanghai November 14^th, 2016) On November 11^th, SAIC Volkswagen officially signed a cooperative agreement with Audi, going to establish a joint-venture sales company with SAIC, the domestic models of which will be produced by SAIC Volkswagen. It seems that Audi will adopt the cooperative model of Skoda and SAIC Volkswagen, bypassing the policy limits. Domestic models are expected to make their debut in Shanghai Auto Show next year. Currently, there are still two suspending problems needed to be solved, including SAIC’s attitude and guaranteeing the inherent channel interests.

According to relevant information, SAIC Volkswagen knows about the transaction but believes the process is too fast. Another relevant person keeps silence when receiving interviews about the transaction. Reporters also learn that SAIC Group is always actively promoting the cooperative project with Audi, hoping to find a high-end product developing road. “SAIC Volkswagen, along with SAIC Group, knows little about the information of cooperative project between SAIC Volkswagen and Audi.”

Volkswagen said that the detailed cooperative information between Audi and SAIC Volkswagen will be released in the next week on November 14^th. The most noticeable problem during the cooperation will be how to guarantee SAIC Volkswagen and Audi dealerships’ interests. Just two days ago, the 2016 annual meeting of China Automobile Circulation Industry was held in Zhuhai, during which Audi Dealers Association released an open letter to Audi China, criticizing the dilemma of “high inventory and operation pressure”. According to the presumption, domestic models from SAIC Volkswagen and Audi are not selling well. How would they open new sales channels?