(Yicai) Jan. 19 -- FAW-Volkswagen will release only hybrid auto models to compete with Chinese new energy vehicle brands, according to the deputy general manager of the Chinese carmaking joint venture between China’s FAW Group and Germany’s Volkswagen.

FAW-Volkswagen is designing brand-new electric vehicle models, with the technological scheme already determined, said Nie Qiang. The JV’s self-developed hybrid power system will soon be applied to all future models, he added.

The Changchun, Jilin province-based JV, which produces cars under the Volkswagen, Audi, and Jetta brands for the Chinese market, aims to sell 1.9 million to 2 million cars in the country this year, Nie noted. Sales of Volkswagen-branded EVs are expected to top 100,000 units.

FAW-Volkswagen delivered over 1.9 million cars last year, up 4.8 percent from the year before, achieving a Chinese market share of 8.6 percent, according to the latest official data.

JVs between traditional Chinese carmakers and foreign peers have been under pressure because of the quick rise in popularity of independent Chinese NEV brands. In December, JV sales in China fell 7 percent to 790,000 units from a year earlier, according to data from the China Passenger Car Association.

FAW-Volkswagen launched the ID all-electric product series under the Volkswagen brand, which became one of the most popular EV products among JV brands. Nonetheless, the ID series is still far behind lineups from Chinese brands in terms of market share and sales.

Audi ranked third in China among luxury car brands last year, as its sales growth outpaces its rivals at the cost of high discounts. This year, Audi will organize its product lines and improve the efficiency of dealers’ operations by reducing the number of models, Michael Arndt, GM at FAW Audi Sales, told Yicai.

FAW-Volkswagen plans to release five new Jetta-branded car models with a product development cycle of 24 months in the next three years, while fully pushing for all-electric and hybrid models, Liu Hongtao, deputy GM for the Jetta brand, told Yicai.

Editors: Shi Yi, Futura Costaglione