Volkswagen invests 2 bn euros in Chinese electric vehicle sector

1Anonymous2020/05/30(Sat) 04:21:45.23

BEIJING (AFP) - Volkswagen said yesterday it will invest around 2 billion euros (US$ 2.2 billion) in two Chinese companies in the electric vehicle sector, calling it gthe worldfs biggest marketh.

The German car giant said it will take a 50 percent stake in JAG -- the parent company of state-owned JAC Motors - and increase its holding in the JAC Volkswagen joint venture from 50 percent to 75 percent for around 1 billion euros.

The group said in a statement that gby gaining management control, Volkswagen is paving the way for more electric models and infrastructureh.

It will also buy a 26 percent share of Chinese battery supplier Gotion High-Tech for 1.1 billion euros. China, which accounts for 40 percent of Volkswagenfs sales, has become the worldfs largest auto market in recent years, with Beijing repeatedly pledging to support the electric vehicle industry.