Volkswagen FAW Engine

Volkswagen FAW Engine (Dalian) Co., Ltd. is a Sino-German joint venture jointly invested by Volkswagen (China) Investment Co., Ltd. and China FAW Group Co., Ltd. The investment ratio is 6:4, with the German side holding 60% and the Chinese side holding 40%. The overall project plan is to produce 300,000 engines annually, with a total planned investment of nearly RMB 3 billion, including a registered capital of nearly RMB 1 billion. The project product is the globally conceptual engine newly developed by Audi AG of the Volkswagen Group, namely the EA888 code-named 1.8L and 2.0L 4-valve turbocharged gasoline direct injection engines. Its product technology is advanced. Global production sites are Dalian, China and Gyor, Hungary. Product users are Changchun FAW-Volkswagen Automobile Co., Ltd. and Shanghai Volkswagen Automotive Co., Ltd.; some products will be exported overseas. Since the signing of the project, after approval by the National Development and Reform Commission and the Ministry of Commerce, it obtained a business license on April 13, 2005. The foundation ceremony was completed on May 26, and construction officially started on September 15. A production ceremony was held on March 30, 2007, marking the start of mass production. The production line includes four major component production lines and assembly lines, namely four machining lines for cylinder block, cylinder head, crankshaft, and camshaft; cylinder head sub-assembly line, short engine assembly line, and long engine assembly line; in addition, the production process also includes comprehensive cold testing, hot testing, and dynamometer testing, as well as a comprehensive measurement system. Currently, the company has completed capacity construction for 500 units per day; has over 500 employees; and has achieved an annual production capacity of 150,000 engines in the first phase.