On Tuesday, Volkswagen’s (VOWG_p.DE) China head of business said that the carmaker required clarity on cross-border data transfers in a meeting with Premier Li Qiang, wondering how China would collaborate with Europe amid mounting political tensions.
The automobile industry’s transformation depends on an international workforce, data, and knowledge sharing. “We need more clarity on cross-border data transfers,” executive Ralf Brandstaetter said at a World Economic Forum gathering in Tianjin.
He said, “What are China’s main concerns, and how will China cooperate with Europe?”
Volkswagen has software and chip supply agreements with Qualcomm in North America, STMicroelectronics in Europe, and Horizon Robotics in China.
Further, ringfencing its technology growth in the region, it is investing roughly 1 billion euros ($1.10 billion) in a new electric car development and procurement center in Hefei, China, scheduled to open in 2024.
Brandstaetter also stated the market for electric, plug-in, and fuel-cell vehicles was too congested and needed cash to grow.
As car demand falls, more than 40 electric vehicle producers in China, including Tesla (TSLA.O), BYD, and Nio, have cut prices.
In March, Volkswagen Automotive Co. offered 3.7 billion yuan ($512.52 million) in cash subsidies for automobile sales in China.