[Chengdu/Beijing, August 28, 2025] As China’s automotive market rapidly shifts to electrification, Volkswagen Group is strategically positioning itself as a leading NEV player, delivering a full range of competitive electrified products covering from luxury flagships to affordable mass market models. Following its “In China, for China” strategy, the Volkswagen Group is electrifying its iconic JETTA sub-brand to capture the opportunities in China’s booming entry-level NEV segment. Under the “Cooperation Agreement on JETTA Business Development” signed by Volkswagen Group China, FAW and the Chengdu Economic and Technological Development Zone today, JETTA will introduce four NEV models for the entry-level segment by 2028, featuring segment-specific, solid technology solutions. This initiative further propels the Group’s largest-ever NEV product offensive in China. 

 Brandstätter, Member of the Board of Management of Volkswagen AG responsible for China, Chairman and CEO of Volkswagen Group China, said: "With the iconic JETTA models, we have made individual mobility accessible for over 5 million Chinese customers. Now, we are extending JETTA’s legacy into the electrified, intelligent connected vehicle era following our consistent 'In China, for China' strategy. By electrifying JETTA, we are tackling the fast-growing entry NEV segment to serve a broader customer base. This also supports the Group’s comprehensive NEV coverage across all major segments. The deepened cooperation reaffirms our commitment to long-term growth in China and creating mutual success with our local partners, FAW and the city of Chengdu.” 

Dr. Robert Cisek, CEO of Volkswagen Passenger Cars Brand for China: “Volkswagen is renowned for making innovation accessible to everyone. With the new chapter of JETTA, we continue this tradition by integrating our locally developed platform technology, leading ADAS functions, as well as leveraging our joint venture’s technological innovation capabilities. The JETTA NEV models will bring together these smart solutions with our unmatched Volkswagen DNA of quality, offering the perfect balance of performance, reliability, and value for China’s growing entry-level car market."

Qiu Xiandong, Chairman of BOD, Secretary of the CPC FAW Group Committee, stated: "This signing is a vivid practice of China FAW actively responding to the country's high-level opening-up policy and thoroughly implementing the Belt and Road Initiative as well as the Western Development Strategy. FAW-Volkswagen will fully leverage the combined strengths of both Chinese and German sides to enhance the efficiency of localized operations and independent R&D and innovation capabilities, and to establish a new highland for joint venture technology. This will inject fresh momentum into the high-quality transformation and development of Sichuan's automotive industry, as well as into the JETTA brand's efforts to 'root deeply in the local market and expand its reach overseas'."

Delivering Affordable E-Models with Advanced Technologies

By 2030, the compact segment will represent about half of China’s NEV market, with entry-level models priced around RMB 100,000 serving as a key growth driver. To capitalize on the market growth and cater to the needs of Chinese customers seeking high-quality smart mobility at an accessible price, the JETTA brand will bring four NEV models by 2028, with the first model hitting the market as early as 2026, featuring competitive electrification, digitalization, and advanced driving assistance system (ADAS) tailored for the entry-level NEV segment, while maintaining strong price competitiveness.

JETTA’s new product initiative aligns with Volkswagen Group’s largest-ever NEV push in China: targeting to launch around 50 NEV models by the end of the decade, including about 30 pure electric models.

Meanwhile, leveraging its competitive product lineup and China’s advantages as a production base, the JETTA brand will expand its overseas operations starting with the Central Asian Market. 

Deepening Local Roots to Drive RMB-100-Billion Value Chain

As a major automotive hub in Southwest China, Chengdu boasts the highest vehicle ownership China-wide and has established a strong NEV industrial cluster, solidifying its position as a key driver of China's electrification transformation.

Based on its longstanding production presence in Chengdu, a new JETTA company will be established, fully consolidating the JETTA’s existing resources, and incorporating local investment to further capitalize on regional industrial advantages while accelerating market responsiveness. Under this new structure, JETTA will continue to operate as a Volkswagen sub-brand, while maintaining full synergies with the Volkswagen Group and FAW-Volkswagen.

By 2030, the new JETTA company aims to build a value chain worth over RMB 100 billion, spanning R&D, manufacturing, supply chain, and sales. This will further integrate JETTA into Sichuan’s industrial ecosystem and the broader Southwest China region, solidifying its position as a local automotive leader.

Photo from the Signing Ceremony