China’s JAC gets approval for joint venture with VW to make electric cars
Shanghai — China’s JAC Motors said on Monday it had received government approval for a $734m joint venture with Volkswagen to produce 100,000 electric cars a year. VW, the world’s largest car maker, is also the market leader in China. It sold 4-million cars in the country in 2016 but only a few hundred of them were "green" despite rapid growth in electric vehicle sales in China. China has for years been the world’s largest automotive market but also more recently became the top market for electric vehicles, helped by government purchase incentives. JAC, or Jianghuai Automobile Group, which is based in the eastern province of Anhui, said in a filing to the Shanghai stock exchange that the partnership with VW had been greenlighted by China’s top economic planning agency. China requires that foreign car makers form joint ventures with its manufacturers. VW already makes cars in partnership with other Chinese manufacturers. VW’s China CEO Jochem Heizmann had said during the Shanghai car...
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