Volkswagen begins construction of US$2.5bn MEB plant in Shanghai

Volkswagen Group China has announced that the construction of its US$2.5bn factory in Shanghai, specifically designed for the Modular Electric Drive Kit (MEB) platform, has begun
Of MEB’s importance, Volkswagen said in its statement:
“Through this new platform, electric vehicles will have a more dynamic design, with expanded battery capacity and all-new integrated digital services, while being fully prepared for future autonomous driving implementation.”
As part of the group’s electrification strategy, and to capitalize on the rapid growth of China’s e-mobility market, the new facility will incorporate advanced automation and a high production capacity to cater to ever-increasing demand.
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The facility will incorporate over 1400 Industry 4.0-standard robots, artificial intelligence, and virtual reality and augmented reality platforms to maximise output efficiency.
Vehicle production is scheduled to begin in 2020, and SAIC Volkswagen has a planned annual capacity of 300,000 cars.
The factory will produce pure electric vehicles, including medium and large-sized SUVs, and battery systems.
“Through Volkswagen’s MEB platform, we will be able to easily produce state-of-the-art electric vehicles for our Chinese customers on a high scale,” said Dr Herbert Diess, Chairman of the Board of Management at Volkswagen Aktiengesellschaft.
“The Volkswagen Group, its brands and their Chinese joint venture partners focus consistently on sustainable mobility and push the transformation of the automotive industry in China and worldwide.”

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