AsianFin -- Volkswagen and its Chinese joint venture partner SAIC Motor are set to shut down their production facility in Nanjing, eastern China, as part of a broader restructuring effort.

Production at the plant has already halted, a Volkswagen spokesperson confirmed to Euronews, with operations expected to wind down gradually over the second half of 2025. Reports of the closure initially emerged in late 2024.

Despite the shutdown, the long-term partnership between the two automakers remains intact. According to Volkswagen’s official website, the joint venture agreement between SAIC and Volkswagen was renewed in 2024 and extended through 2040, signaling continued commitment to the Chinese market.