Date
27 March 2017
Volkswagen is exploring options to boost its stake in its joint venture with China's FAW Group. Photo: Bloomberg
Volkswagen is exploring options to boost its stake in its joint venture with China's FAW Group. Photo: Bloomberg

VW wins China nod to raise stake in FAW joint venture

Volkswagen has been given the go-ahead by Beijing to raise its stake in a joint venture with Chinese state-owned automaker FAW Group.

“The Chinese government has approved in principle a possible increase in the stake,” Reuters quoted a Volkswagen spokeswoman as saying Thursday.

 

VW and FAW had set up internal working groups to evaluate the move and had jointly hired external consultants to value the stake in FAW-Volkswagen, she said.

The German automaker currently holds 40 percent stake in its joint venture with FAW.

Together with its joint ventures, Volkswagen delivered a total of 3.7 million vehicles in China in 2014, representing an increase of 12.4 percent over the previous year.

 

– Contact us at [email protected]

 

CG/RC

EJI Weekly Newsletter

Please click here to unsubscribe