Loading...
Market
Story
Volkswagen Exits Xinjiang, Sells Urumqi Plant to Shanghai Lingang Amid Rights Concerns
Nov 27, 2024, 08:45 AM
Volkswagen (VW) has announced its decision to exit the Xinjiang region in China, selling its controversial Urumqi plant in the area. The plant, co-owned with its Chinese partner SAIC, will be sold to a subsidiary of the state-owned Shanghai Lingang Economic Development Group. This move also includes the sale of a test track in Turpan, effectively ending VW's presence in Xinjiang. The decision comes after years of criticism from human rights activists and mounting pressure from investors over allegations of human rights abuses, including forced labor, in the region. VW's partnership with SAIC has been extended through 2040, despite the sale.
View original story
Similar markets
Focus on expanding in other Chinese regions • 25%
Increase investment in electric vehicle technology • 25%
Strategic partnership with another Chinese company • 25%
Other • 25%
Positive market reaction • 25%
Neutral market reaction • 25%
Negative market reaction • 25%
Mixed reactions • 25%
Increase investment in China • 25%
Reduce presence in China • 25%
Maintain current strategy • 25%
Other strategic move • 25%
Yes • 50%
No • 50%
Increase by more than 5% • 25%
Decrease by more than 5% • 25%
No significant change (within 5%) • 25%
Other • 25%
Plant repurposed for new industry • 25%
Plant remains in automotive production • 25%
Plant closed down • 25%
Other outcome • 25%
Successful roll-out of 18 new models • 25%
Roll-out of fewer than 18 models • 25%
Partnership terminated before 2030 • 25%
Other outcomes • 25%
Multiple departments shifted abroad • 25%
Single department shifted abroad • 25%
No departments shifted abroad • 25%
Plans to shift but no execution • 25%
Increase local partnerships • 25%
Focus on electric vehicle market • 25%
Expand marketing efforts • 25%
Reduce market presence • 25%