China
Audi sets sales record of 1 million cars
By Zhuan Ti (China Daily)
Updated: 2010-10-21 15:30
 |
Large Medium Small |
|
A sculpture titled Ode to Audi by world-famous sculptor Gerry Judah topped by an Audi A6L is the highlight of the celebration. [Photo/China Daily] |
|
Audi's all-digital assembly shop in Changchun is among the company's most advanced production facilities in the world.[Photo/China Daily] |
To honor the occasion, those in attendance included FAW Group President Xu Jianyi, Chairman of the Board of Management of AUDI AG Rupert Stadler and An Tiecheng, president of FAW-Volkswagen
A dramatic highlight was an enormous sculpture titled Ode to Audi by world-famous sculptor Gerry Judah topped by an Audi A6L, an astonishing sight illustrating Audi's unshakable leadership in China.
Xu, Stadler and An unveiled the sculpture together, announcing the historic milestone in sales.
More than 7,000 people, including Audi suppliers and dealers, media and employee representatives from all over the world attended the event.
FAW Group President Xu said that "during the 22 years of Audi production in China, the Chinese and Germans treated each other with understanding and frankness, making Audi the No 1 brand in Chinese premium car market".
"Always dedicated to Audi's localization, the two parties have gradually formed the FAW-VW Audi mode based on Audi's global uniform standards and established the strongest premium car manufacturing base and highest-level auto part supply system in China," Xu said.
He noted that such a partnership not only made a remarkable contribution to the Chinese auto industry, but also laid a firm foundation for Audi's long-term development in China.
Localization
FAW-VW Audi's fast growth is a process of deepening localization of the whole value chain from product R&D, part procurement to manufacturing and marketing.
In 1988, FAW and Volkswagen Group signed the first standard premium car technology transfer agreement in the history of the Chinese auto industry, beginning Audi's localization in China. The following year the first locally produced Audi 100 rolled off the assembly line in Changchun.
In 1999, the Audi A6 C5 jointly developed by China and Germany was made in Changchun, the first longer-wheelbase model made to meet Chinese preferences. The two parties then co-developed the A6L and A4L to suit domestic customers, setting a benchmark in localization.
FAW-VW now has China's strongest all-digital world-class auto production facility, which produces three Audi models that meet leading world standards - the A6L, A4L and Q5.
FAW-VW Audi now has more than 200 local part suppliers. More than 60 percent of each car is made from locally produced parts.
A large group of its top parts suppliers are now integrated in Audi's global procurement system.
In 2000, with the opening of China's first premium car sales, service and parts store, Audi embarked on the path of specialized local marketing in China.
FAW-VW Audi now has a network of 167 dealers in 96 cities nationwide.
Based on its grasp of market needs, Audi has maintained its leadership in the premium market, exceeding sales of 100,000 cars in 2007, 150,000 in 2009 and will surpass 200,000 this year.
While creating one sales record after another, Audi has also become the most consumer-acknowledged premium car brand in China.
Audi Group Chairman Stadler said that "from the very beginning Audi and FAW have taken localization based on Audi's global uniform standard as the core of their cooperative strategy".
"This is vastly different from our competitors' China strategy and also the reason Audi considers China its second home," he added.
In the future, Audi will continue to deepen localization. The new generation A6 will be introduced for production in 2012.
Many firsts
FAW-VW Audi has created many firsts in China - the first premium car brand to realize local production, conduct secondary local development, establish a marketing service network and to reach sales of 1 million cars.
For 22 years, the top premium car brand has continued to lead the development of its segment in China - product competitiveness, market sales and customer satisfaction.
From January to September this year, Audi created a new sales record of 173,058 cars, more than its total sales in China last year.
"In the next five years, Audi, together with FAW, will further raise the localization rate of Audi's products. We will jointly develop the latest technologies including hybrid drive and introduce an all Audi series," Stadler said
At the celebration, FAW-Volkswagen announced it would sell its next 1 million cars in only three years.
"Forever progressive is the charm of the Audi brand and also the core philosophy of FAW-VW Audi. In the future, we will bring the latest in car efficiency technology to make Audi the brand with the strongest progressive charm in China," said FAW-VW President An.