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VW and partner SAIC start building $2.5B Audi plant in China

BEIJING — Volkswagen AG's China joint venture with SAIC Motor Corp has started building a $2.5 billion new energy vehicle (NEV) plant in Shanghai, which will make VW's luxury Audi brand cars, a possible first for the venture. The new plant is a key step for Audi to diversify production of its cars in the world's largest car market from its long-standing local partner, China FAW Group Corp. This shift has been delayed amid resistance from local dealers. SAIC Volkswagen said the new plant would have an annual capacity to make 300,000 cars and begin production from 2020. Audi sold 481,387 vehicles in China from January to September this year. The announcement comes the same week Tesla secured a Shanghai location for a Gigafactory battery plant to serve the Chinese market. Audi unveiled the plan to bolster ties with SAIC in late 2016. Earlier this year, the Germany luxury carmaker bought a 1 percent stake in the SAIC Volkswagen venture, paving the way for the joint venture to produce and sell Audi cars. Volkswagen currently gets a larger proportion of the proceeds from the 50-50 tie-up with SAIC than from its 40 percent stake in the venture with FAW. SAIC Volkswagen said in a statement on Friday the plant would cost 17 billion yuan ($2.5 billion) and would make VW and Skoda models as well as Audi cars. It will help VW tap China's fast-growing market for NEVs, a category comprising electric battery cars and plug-in electric hybrid vehicles. ($1 = 6.9314 Chinese yuan renminbi) Reporting by Yilei Sun and Adam JourdanRelated Video: Image Credit: Reuters Green Plants/Manufacturing Audi Volkswagen Skoda Electric Hybrid

Audi previews sleek crossover concept ahead of Beijing debut

With the Beijing Motor Show approaching just a couple of weeks down the road, automakers have begun announcing the concept cars they have in store. Nissan has a new sedan concept coming, Lexus will reveal the production NX crossover and Citroën has a tempting sports sedan concept lined up for the Chinese auto expo. And now Audi has hinted at what it has in store.
Revealing only a trio of renderings with no details to accompany them so far, Audi appears to have a new crossover concept in the works. Referred to only as the Audi Showcar Beijing 2014, the brief calls for a five-door crossover with a rather coupe-like roofline, rugged lower body cladding and a flexible cabin with quad bucket seats.
The form bears telltale similarities to the new TT, suggesting that this concept could be a further evolution of the Allroad Shooting Brake concept that Audi revealed in Detroit. If put into production, we could see it wearing the Q4 badge, giving Ingolstadt a rival to the likes of the BMW X4, Porsche Macan and Range Rover Evoque. However, until Audi tells us otherwise, that's all speculation...

Audi Super Bowl ad will star creepy Doberhuahua dog

Poor little doberhuahua, so misunderstood. In fact it's so misunderstood that we don't even know what it is. Not that something like that would stop Canadian songstress and animal rights advocate Sarah McLachlan from plucking at our heartstrings, though, in the teaser video below.
The apparent half-breed mutt offspring of a doberman and a chihuahua is set to star in Audi's upcoming Super Bowl commercial and appears to be what was terrifying the dog-show announcers so thoroughly in the last teaser video. Audi previously announced it was focusing its Big Game ad buy on the new A3, but we'll have to wait another week to find out just how it will manage to equate its new compact luxury sedan ad hatchback to a small dog with a big bite.
In the meantime, scroll down for the teaser video.