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it home reported on september 19 that bloomberg and reuters quoted people familiar with the matter on the 18th as saying that saic volkswagen plans to close its factory in nanjing, jiangsu next year. the factory producespassat and skoda models, with an annual production capacity of 360,000 vehicles.

according to people familiar with the matter, some workers at the nanjing factorywill be notifiedthe company has not yet given a clear "timetable for the transfer" and has not yet decided whether to completely close the plant or sell it. saic volkswagen is also planning to revive skoda sales, which account for only 1% of saic volkswagen's total sales, compared with 17% in 2018.

volkswagen confirmed that its partners were also conducting a strategic review of skoda after a sharp drop in sales, highlighting the huge difficulties it faces in china. a factory in ningbo, zhejiang, which produces several skoda models, has been suspended for months and is considering closing, the people said.

volkswagen china said in an emailed response to bloomberg news: all of saic volkswagen’s factories areaccording to market requirementsandcompany forecastnormal operation. as the focus shifts to smart electric vehicles, the company is also gradually transforming its vehicle production and parts factories.

according to it home, saic volkswagen sales and marketing executive vice president fu qiang said earlier this month that henot optimisticsome joint ventures choose to lie flat. he believes that once they lie flat, they can never stand up again, and the price they pay when they come back will be much higher than the price they paid to stand up in the first place. the market has already forgotten this brand. "so saic volkswagen's choice is very firm. there will be transitional strategies and methods during the transition period. some interests will be sacrificed temporarily, but what will be won is the future battlefield."

in august this year, saic group's sales of new energy vehicles exceeded 86,000 units. from january to august, the cumulative sales of new energy vehicles reached 619,000 units, an increase of about 11% year-on-year.