Paul Myles

The automaker hopes the facility will help it meet customer demand for both internal-combustion and electrified powertrains, the latter seen for the first time in the brand with the Bentayga Hybrid SUV.

The automaker says its Luqiao factory in China is undergoing tooling trial production of Polestar 2. This prototype phase is designed to prove vehicle integrity and process quality.

The new facility will break ground in December and is expected to begin commercial production in second-half 2021 with an annual capacity of 150,000 units.

Following VW’s announcement of European production at the Zwickau plant, it also will assemble the ID.3 at the nearby Gläserne Manufaktur facility in Dresden.

Renault will use the new material – made from safety belts, textile scraps and plastic bottle recycling – in its new Renault Zoe electric car.

The SAIC Volkswagen plant is scheduled to start ID. model production at the same time as a plant belonging to the FAW-Volkswagen JV in Foshan, resulting in a combined capacity of 600,000 units per year.

With these three subsidiaries, Daimler says it is strengthening its customer focus and increasing the group’s agility. The parent company will be responsible for governance, strategy and control functions.

The Volvo sub-brand says test drives can be conducted on-site, deliveries can be scheduled to home or office addresses and there is no held stock to steer buyers away from their own preferred vehicle configuration.