The investment programme, said to be the largest in China’s history according to CEO Prof Martin Winterkorn, will see the brand invest more than €9.8bn by 2015. Of this figure, more than two-third will be invested in eco models and sustainable production.

Prof Winterkorn said: ‘At Volkswagen, we are convinced that climate protection and efficient technologies are drivers for economic growth. And I am confident that the world’s best automaker must take the lead in terms of green mobility, too.’

VW is in the process of building seven new plants in China, five of which will come on board this year, with all seven intended to set new standards for sustainable automobile production. Annual production capacity will increase from the current level of 2.6 million to more than four million units per year in 2018, with a view to relieving the burden on existing plants in a growing market.

Prof Jochem Heizmann, president and CEO of Volkswagen Group China, outlined the company’s electro-mobility strategy for the Chinese market and said that electric vehicles will be offered from 2014/2015. Some of these vehicles would be produced locally by the joint ventures Shanghai-Volkswagen and FAW-Volkswagen.

Volkswagen has already reduced the fuel consumption of its Chinese line-up, currently including more than 70 models, by 20% between 2005 and 2010. A further reduction of 11% is planned by 2015, with measures including . further optimisation of petrol and diesel engine efficiency as well as the introduction of alternative powertrain technology.

‘For three decades, Volkswagen has been a reliable partner for the Chinese automobile industry. We will continue to assume responsibility for people and the environment in the future,’ said Prof Heizmann.