Published by Global Banking & Finance Review®
Posted on April 22, 2025
2 min readLast updated: January 24, 2026
Add as preferred source on GoogleVolkswagen plans to export cars from China to Asia, South America, and the Middle East, adapting to market demands and competition.
SHANGHAI (Reuters) -Volkswagen plans to start exporting cars from China, aiming to sell in other Asian markets, South America and the Middle East, its China chief said on Tuesday, adding the carmaker was also ready to tackle domestic competition in the country.
Carmakers in China, including Volkswagen, are grappling with how to make use of unused production capacity as annual demand for cars has stagnated at around 22 million cars since 2019.
"It is fully clear that VW will not export to the U.S. or Europe (from China) except for the Tavascan. But other markets are open like Asian markets, South America and the Middle East," Ralf Brandstaetter said, speaking at an event held ahead of the Shanghai auto show.
"They are open to products from China. We have competitive models and we are approaching doing export from China to these regions."
In China, where foreign carmakers are losing market share to a swathe of domestic rivals, Volkswagen plans a new vehicle platform for both battery-electric cars and EVs equipped with so-called range extenders, a small combustion engine which adds extra range.
"You can't predict what the share of each type of EV will be in 2030. We need to adapt our platforms to provide this flexibility," Brandstaetter said, adding that the ingredients for success in China included assisted driving capabilities, cost management and flexibility in drivetrains.
"There is no reason why Volkswagen can't be as fast and as competitive as a Chinese startup with this approach," he said.
(Reporting by Victoria Waldersee; Editing by Christoph Steitz and Susan Fenton)
Volkswagen's strategy to export cars from China to Asia, South America, and the Middle East.
To utilize unused production capacity and expand into new markets.
Volkswagen will not export to the U.S. or Europe from China, except for the Tavascan.
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