New plants of FAW- Volkswagen to be settled

　　The issues dragged so long where Volkswagen’s new plant perhaps will be settled soon. After Volkswagen announced an additional investment of ?1.6 billion in China, news came that the new plant will be located in Foshan, Guangdong.

　　In April 26, Volkswagen announced that it would invest an additional 1.6 billion euros in China for the construction of two new plant and other projects.

　　In May 5, director of the public relations department of Volkswagen China released to Economic Observer Network that there had not yet been any exact information about where the project would be settled down. Once the site determined, relevant information would be announced by FAW-Volkswagen and Shanghai Volkswagen.

　　Later at the same day, one insider from FAW-Volkswagen public relations department released it had already been identified the new plants would be located in Guangdong. However, the specific areas still had not been decided.

　　After the announcement of Southern Strategy at the end of last year in Guangzhou, the outside has been widely considered Volkswagen will settle its new factories in Guangdong. And then, so many cities including Dongguan, Zhanjiang, Huizhou as well as Shunde and Nanhai in Foshan have joined in the fight to win these two projects.

　　Economic Observer Network has learned through multiple channels that the new plants of Volkswagen will be located in Foshan. It was reported that Guangdong Governor Huang Huahua went to Foshan for research in April 3.one important issue was the location of FAW-Volkswagen’s new plants in South. Previously, FAW-Volkswagen has launched inspected Foshan Shunde and Nanhai. These two governments also have been strived to win the projects.

　　Shunde once set up a joint venture FAW Shunde factory together with FAW during the 1990s, which was considered an initial advantage by the outside. However, Nanhai also have not given up for fighting since it has a relatively completed auto parts supporting systems, as well as is located more closely to Guangzhou.

　　It is believed that the whole thing will comes to light recently. A well-informed source released that before the May Day holiday, leaders from Shunde District said at one meeting FAW-Volkswagen project had been “stolen” away by Naihai. Moreover, in April 3, the areas in the city of Foshan inspected by Huang Huahua included Nanhai and Chancheng two districts. At that time, Nanhai District Party committee secretary Li Yiwei was by the side of Huang Huahua while leaders of Shunde district Party committee were not.

　　According to the sources, FAW-Volkswagen had already conducted several studies in Foshan. No matter Shunde or Nanhai, it has already been supported by Guangdong Province that the new plants would be settled in Foshan.

　　Previously, some media reported that at the very beginning, the planning only included one new factory of FAW-Volkswagen in Guangdong. Then Shanghai Volkswagen joined in. besides, the two plants will be built in the same place.

　　(Translator: Yalong/Jessie)

　　See original Chinese report Please click:

　　http://auto.sohu.com/20100507/n271968408.shtml