Volkswagen has opened the new plant of Shanghai Volkswagen (SVW) in Yizheng, aastern China, together with Hu Maoyuan.

The plant is designed for an annual production capacity of 300,000 vehicles and began with the Polo. As the second plant producing this model in China, Yizheng will make production considerably more flexible. It is also planned to produce Skoda models here in the next stage.

Yizheng, about 300km (200 miles) north west of Shanghai, will create about 3,700 new jobs in the region.

The plant has press, body and paint shops and a final assembly unit.

A technical testing centre, a training academy to provide initial and advanced training for employees and energy centre were also constructed on the site which has a total area of about 1.3m sq m.