SAIC-Volkswagen Joint Venture to Launch Three New Models in 2026
Recent reports from Chinese media have revealed that the SAIC-Volkswagen joint venture is gearing up to introduce three new models in the Chinese market in 2026 as part of their comeback strategy. These three models, internally known as A, B, and C, will cater to the BEV, EREV, and PHEV market segments.
Model A, a PHEV sedan, is a modified version of the existing Roewe D7 developed by SAIC. On the other hand, Model B is a high-end EREV SUV based on one of IM Motors’ unreleased vehicles. Model C, developed by Volkswagen, is a pure electric SUV built on the CEA platform jointly developed by Xpeng and Volkswagen. Despite the collaboration, all three models will feature Volkswagen’s iconic VW logo, maintaining brand consistency.
This isn’t the first time such news has surfaced. Earlier this year, reports hinted at SAIC-Volkswagen’s plans to launch PHEVs and EREVs, with speculations about an exclusive B-class SUV tailored for the Chinese market. It is now believed that Model B aligns with these previous reports.
On June 27, a significant milestone was achieved as Volkswagen, SAIC, Volkswagen (China) Investment, Volkswagen (China) Technology, and SAIC-Volkswagen signed key technical cooperation agreements for new product projects. This collaboration will see the development of three PHEV models and two BEV models in partnership with Chinese entities.
Despite facing challenges, SAIC-Volkswagen has shown resilience in the market. As per the China Passenger Car Association (CPCA), the joint venture sold 1.049 million vehicles in the first 11 months of 2024. In November alone, they recorded a 5.9% year-on-year growth with 123,000 vehicles sold, securing a 5.1% market share and ranking seventh in automobile retail sales in China. In comparison, FAW-Volkswagen faced a 12% decline in sales in November, selling 147,000 vehicles and holding a 6.1% market share, ranking fourth.
