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Volkswagen teams up with Xpeng for China EV launch in 2026

Volkswagen plans to launch the ID Unyx 08, an EV co-developed with Chinese automaker Xpeng, in China in 2026.

The ID Unyx 08 has received regulatory approval from China’s Ministry of Industry and Information Technology, allowing production to begin.

The SUV, assembled with Anhui Jianghuai Automobile Group, features Level 2++ autonomous driving and an AI-powered assistant.

Volkswagen invested US$700 million in Xpeng in 2023, acquiring a 5% stake.

The ID Unyx 08 will use an 800-volt system and can travel up to 700km per charge.

Volkswagen has lost market share in China since 2020 as local brands like BYD and Geely surged.

Last year, Volkswagen’s sales in China fell 9.5% to 2.9 million units, while domestic brands now account for over 90% of EV sales.

The company aims to regain ground using Chinese technology and partnerships.

🔗 Source: South China Morning Post

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