en.Wedoany.com Reported - Volkswagen Group is seriously evaluating for the first time the possibility of introducing Volkswagen brand models developed and produced in China to the European market. The management is primarily considering the ID.Era 9X, an extended-range SUV co-developed with SAIC Group, which is larger than the soon-to-be-discontinued Volkswagen Touareg and could fill a gap in Volkswagen's European product lineup. Industry insiders reveal that another SUV based on Volkswagen's new China-specific CSP platform is more likely to enter the European market, with exports to Europe potentially starting as early as 2027.
If the plan is ultimately implemented, it would have multiple implications: on one hand, it could improve capacity utilization at European factories; on the other hand, it could reduce overall costs by leveraging China's lower R&D and manufacturing costs. The German Zwickau plant is one of the potential production sites. However, before entering Europe, the vehicles will still require significant adjustments to comply with European regulations, involving software systems, driver assistance functions, interior materials, and various regulatory certifications.
Currently, Volkswagen Group is experiencing its most severe cost and structural crisis in decades, with overcapacity and declining profit margins. The board is developing a new restructuring plan that is far more extensive than previously initiated cost-saving measures. According to sources, the new plan may involve further layoffs, potentially reducing the group's total workforce by approximately 100,000 employees over the next few years. Volkswagen's supervisory board has scheduled a meeting on July 9 to discuss the relevant plans.
The European Commission is studying the introduction of a "Made in Europe" label, which could put Volkswagen models imported from China at a market disadvantage in the future. If Volkswagen actually begins selling vehicles fully developed and produced in China to Europe, it would signify a fundamental shift in the group's global strategy—the "global model" approach that has been maintained for decades is changing.
