JAC signs a memorandum of understanding with Volkswagen group (China) and SEAT to establish a new energy vehicle R&D center jointly

On July 9th 2018, under the common witness of China Premier Li keqiang and German Chancellor Angela Merkel, JAC signs a memorandum of understanding with Volkswagen group (China) and SEAT in Berlin Germany. The new cooperation project will further strengthen a leading advantage of JAC in the field of new energy vehicle and provide more new energy vehicles for customers as well as Internet of vehicles and autonomous driving technology. It also will promote and deepen technology exchanges and economic & trade cooperation between two countries.? Mr. An Jin, the board chairman of JAC Group expressed that: ’it’s a further cooperation between JAC and VW and another milestone of both side in the field of new energy vehicle whole value chain cooperation. What’s more, it’s very important for JAC constriction adjustment and industrial transformation. We will adhere to the principle of complement each other's advantages and joint development to make more Chinese customers to enjoy a green and environment-friend experience and a convenient life. ’ According to the memorandum of understanding, JAC Group, Volkswagen group (China) and SEAT will jointly establish a R&D center to develop new energy vehicles, car networking, and automatic driving technique, spare parts and core technologies, which can meet the need of Chinese market. The new R&D center will be established in 2021. And SEAT will joint stock JAC and VW joint venture Company, which will achieve through capital increase of JAC and VW joint venture Company or stockholder's rights transfer from Volkswagen group (China) to SEAT. The brand of SEAT will be introduced to Chinese market from 2020 to 2021. Besides, on basis of each side’s technology, JAC and VW joint venture Company will develop a competitive pure-electric vehicle platform. The new platform will provide more products for Chinese and global customers. The cooperation project is in line with the national strategic emerging industries deployment and will promote VW and JAC to integrate global resources and achieve advantages complementary. It has a very important function for JAC achieving construction adjustment and brand up-grading. Based on the requirement of ‘automobile mid-term and long-term development plan’ for energy conservation and emission reduction, JAC will seize this opportunity and develop new energy vehicle. In 2020, the sales volume of new energy vehicle plans to breakthrough 20%, and in 2025, the sales volume of new energy vehicle plans to breakthrough 30%.