SAIC-Volkswagen plans to launch three new models in 2026 to reclaim the Chinese market
Recently, Chinese media reported that the SAIC-Volkswagen joint venture plans to launch three new models in the Chinese market in 2026 to achieve a comeback. The three models are internally codenamed A, B, and C, covering the BEV, EREV, and PHEV market segments.
Specifically, both models A and B are developed by SAIC. A is a PHEV sedan modified based on the already launched Roewe D7. B is a mid-to-high-end EREV SUV modified based on one of IM Motors’ unreleased vehicles (internal codename S31L). On the other hand, C is developed by Volkswagen, positioned as a pure electric SUV based on the CEA (China Electrical Architecture) platform jointedly built by Xpeng and Volkswagen. All three models will adopt Volkswagen’s VW logo rather than adopting a new brand strategy.
This is not the first time such news broke out. The news that SAIC-Volkswagen will launch PHEVs and EREVs was already heard in April this year. At that time, some media reported that “Volkswagen will launch an EREV positioned as a B-class SUV, exclusively for the Chinese market and planned to go into production in 2026.” It seems that the B car is most likely the B-class SUV.
Then on June 27, Volkswagen, SAIC, Volkswagen (China) Investment, Volkswagen (China) Technology, and SAIC-Volkswagen signed numerous technical cooperation agreements on SAIC Volkswagen’s new product projects. According to the agreement, Volkswagen will jointly develop three PHEV models and two BEV models with Chinese partners.
For the first 11 months of 2024, SAIC-Volkswagen sold 1.049 million vehicles, according to the China Passenger Car Association (CPCA). In November, the joint venture sold 123,000 vehicles, up 5.9% year-on-year, with a market share of 5.1%, ranking seventh in automobile retail sales in China. At the same time, it’s worth pointing out that FAW-Volkswagen sold 147,000 vehicles in November, down 12% year-on-year, with a market share of 6.1%, ranking fourth.
