Volkswagen has opened pre-sales for its second electric vehicle jointly developed with Chinese electric-car manufacturer Xpeng. 

The new model, the ID. UNYX 09, is part of Volkswagen’s effort to strengthen its position in China’s increasingly competitive electric-vehicle market. 

China is Volkswagen’s largest individual market, but the German automaker has faced declining sales and tighter profit margins as domestic electric-vehicle manufacturers expand rapidly. 

Chinese brands have introduced a wide range of competitively priced electric vehicles with increasingly advanced technology.

The partnership with Xpeng is intended to help Volkswagen develop vehicles more quickly for Chinese consumers.

Rather than relying entirely on its traditional development process, Volkswagen is using the expertise of a local electric-vehicle company to accelerate its response to changing consumer preferences.

The new electric fastback is the latest product resulting from the partnership between the two companies. 

Volkswagen has been increasing its focus on electric vehicles in China as competition from domestic manufacturers such as BYD and other EV makers intensifies.

The launch demonstrates how established global automakers are increasingly working with Chinese technology and automotive companies to compete in the world’s largest electric-vehicle market. 

Volkswagen’s future performance in China will depend partly on how successfully it adapts its products to the country’s rapidly changing EV industry.

Source: Reuters.