Volkswagen has successfully launched its subbrand Jetta in China with the new SUV VS5 and the VA3 sedan. Since the market entry in September, nearly 30,000 vehicles were delivered to customers. This makes the Jetta launch the most successful recent brand introduction in China, taking into account the first three months of sales. Almost 80 percent of Jetta deliveries were SUVs. With the new Jetta brand, Volkswagen is targeting young Chinese customers who are looking for an entry into the world of Volkswagen.
About one-third of all passenger cars in China are currently sold in the entry-level segment. Within this segment, around 80 percent of customers buy a car for the first time in their lives. First-time buyers in China are on average 20 years younger than in Europe or America. In the entry-level segment, they spend from 8,000 up to 15,000 euros.
With Jetta, for the first time in Volkswagen’s history, a model is transformed into a brand with a proprietary model family. Jetta is positioned independently in the market, but with recognizable proximity to the world of Volkswagen. Innovative sales concepts such as highly digitized showrooms complete the brand experience. Jetta relies on the Volkswagen DNA: quality, safety, value retention, and a clear design language. The Jetta range includes a sedan and an SUV. A second SUV will follow in the near future. All models are produced by FAW-Volkswagen in a state-of-the-art factory in Chengdu, working closely with FAW-VW’s central hub in the city of Changchun.
With a share of almost 50 percent of worldwide deliveries, China is Volkswagen’s largest single market. The brand delivered over 3 million vehicles in China for the second time in a row last year. While the overall market situation in China remains challenging in 2019, the Volkswagen brand has gained market share by maintaining deliveries largely at last year’s level. Therefore the brand is expecting to deliver over 3 million vehicles once again in 2019.