German automobile manufacturer Volkswagen plans to begin exporting vehicles from China to various regions including other Asian markets, South America, and the Middle East, reported Reuters, citing the company’s China chief.

This plan comes as car manufacturers in the Asian country are struggling with using unused manufacturing capacity.

At an event held ahead of the Shanghai auto show, Volkswagen member of the board for China Ralf Brandstaetter said: “It is fully clear that VW will not export to the US or Europe (from China) except for the Tavascan. But other markets are open like Asian markets, South America and the Middle East.

“They are open to products from China. We have competitive models and we are approaching doing export from China to these regions.”

In a bid to maintain and grow its market share in China, where foreign carmakers are facing stiff competition from local manufacturers, Volkswagen is developing a new vehicle platform.

This platform will cater to both battery-electric cars and electric vehicles (EVs) featuring range extenders.

“You can't predict what the share of each type of EV will be in 2030. We need to adapt our platforms to provide this flexibility,” Brandstaetter added.

He noted that key factors for success in the Chinese market include effective cost management, assisted driving capabilities, and flexibility in drivetrain technologies.

Volkswagen is set to showcase its first AI-powered, highly automated driving system (ADAS) at the Auto Shanghai event, scheduled from today to 2 May 2025.

This advanced self-learning system is specifically designed to handle the complexity of China's traffic conditions.