Group 1 - Liu Zhanshu officially appointed as COO of Volkswagen Anhui on November 17, bringing extensive experience from various automotive companies [2] - Volkswagen Anhui, as a joint venture with a 75% stake held by Volkswagen Group, has struggled in the market, with zero sales reported in March 2025 and only a few hundred units sold of its first model in 2024 [2] - Financially, Jianghuai Automobile is expected to incur a loss of approximately 1.35 billion yuan due to Volkswagen Anhui, accounting for over 75% of its total losses [2] Group 2 - Volkswagen Anhui is actively working on self-rescue, planning to launch three new models by 2026, including A and B class sedans and SUVs, with the recent introduction of the ID.EVO concept car seen as a key to market entry [3] - Strategic adjustments include switching future models to a collaboration with Xpeng Motors for enhanced product intelligence, alongside a significant workforce reduction at Volkswagen China [3] - The sales network is set to expand to 60 cities and 120 stores by 2025, focusing on penetrating third-tier cities [3]

Core Insights - Volkswagen Anhui is entering a strategic window with plans to launch three key models by 2026, targeting the A and B sedan markets as well as the SUV segment [2][3] - The first model, the "With Zhong 07," has completed its application process and is designed specifically for the Chinese market, utilizing the new CEA electronic architecture [2][4] - The upcoming year is critical for Volkswagen Anhui, as the success of these models will determine the company's future in the competitive electric vehicle market [2][6] Company Background - Volkswagen Anhui was established in December 2017 and is the third joint venture of Volkswagen in China, focusing on electric vehicles [4] - The company was restructured in December 2020, with Volkswagen increasing its stake to 75%, making it the first wholly-owned joint venture in China [4] Market Performance - The initial model, ID. With Zhong, has struggled in the market, leading to multiple price adjustments since its launch [4][5] - The latest model, With Zhong 06, has seen limited sales, maintaining monthly sales in the hundreds, with a peak of around a thousand units in April [5] Future Product Strategy - The upcoming With Zhong 07 is expected to offer a unique product experience due to its new electronic architecture, which is anticipated to enhance its competitiveness in the market [7][8] - Volkswagen Anhui plans to expand its retail network to 120 stores across 60 cities by 2025, preparing for the launch of the new models [8] Management Changes - Significant personnel changes have occurred within Volkswagen Anhui, including the appointment of a new CEO and CMO in 2023 [9]