AutoBeta(AutoBeta.net)08/18 Report--

After the Jetta model is independent as a brand, it is exposed that the Jetta brand will be separated from the Volkswagen brand of FAW-Volkswagen. According to a number of media reports, a new round of organizational structure and responsibility transfer of FAW-Volkswagen has been completed. Jetta Brand sales Division will be transferred from FAW-Volkswagen sales Co., Ltd. Volkswagen brand to FAW-Volkswagen Co., Ltd. Chengdu Branch and Jetta brand. This means that the Jetta brand officially declares its independent operation and realizes the integration of production and marketing.

It is reported that the Chengdu branch of FAW-Volkswagen Co., Ltd. was officially established in Chengdu on May 8, 2009. It is the vehicle manufacturing base of FAW-Volkswagen in Chengdu, which mainly produces Jetta models. In response to this adjustment, the media interpreted as "the production and marketing business of the Jetta brand will be unified by the Chengdu branch and the Jetta brand, and the Jetta brand will break away from the dependence on the Volkswagen brand of FAW-Volkswagen and achieve completely independent operation."

As we all know, FAW-Volkswagen Jetta is a special car in China, which was replaced by A2 chassis model in 1980s to PQ25 platform model for sale in 2013. The name "Jetta" once appeared in the "old three". It was one of the choices for people and institutions to buy cars at that time. Up to now, the specific cars used by most driving schools are still Jetta. It can be seen that the brilliance of Jetta models in the Chinese market is destined to be an indispensable part of Chinese automobile history.

In March 2019, FAW-Volkswagen Jetta brand was officially established, independent from a single model into a brand. Jetta has set up a new brand from a single model, using a newly designed logo, similar to the initials "J" of "JETTA". At present, there are three Jetta models on sale under the Jetta brand, namely the Jetta VA3 with compact sedan positioning (RMB6.58-92800), Jetta VS5 with compact SUV positioning with price range 8.48-112800 and Jetta VS7 with medium-sized SUV (price range 10.68-136800).

The latest sales show that FAW-Volkswagen accumulated terminal sales of 1.0706 million vehicles (including imported cars) in the first half of this year, an increase of 22.5% over the same period last year. In terms of specific brands, Volkswagen brand terminal sales were 578583, up 14.6% from the same period last year; Audi brand (including imported cars) terminal sales were 418188, up 38.6% from last year; and Jetta brand terminal sales were 73833, up 9.3% from the same period last year. In terms of sales, although FAW-Volkswagen sold more than 1 million vehicles in the first half of the year, the Jetta brand accounted for only 7% of sales in half a year.

The VS5 is the first model of the Jetta brand and is currently the highest-selling model of the Jetta brand. As the first model of the Jetta brand, it scored four stars in the second batch of crash tests of the China Automotive Research C-NCAP in 2020, becoming the only model with a score of 84.9 per cent. Some netizens joked that a car that gets a five-star rating on C-NCAP is not necessarily good, but a car that can't even get a five-star is no better!

In addition, from the car quality network, Jetta VS5 also has many minor problems, including car body rust, parts cracking, engine noise and other problems. An owner of the 2019 self-enjoying Jetta VS5 complained that the steering gear assembly made a noise when the car passed through a bumpy road, especially on a potholed road, when the steering gear and rack collided with each other during the bumpy road, resulting in a clear metal impact under the steering wheel while driving.

As the latest brand of FAW-Volkswagen, its positioning is basically the same as the Skoda brand of SAIC-Volkswagen, focusing on the low-end car market, but due to the lack of Volkswagen logo, Jetta, as a new brand, the main selling point is the price advantage. Once separated from FAW-Volkswagen, how can the Jetta brand survive?

With regard to the news of the independent development of the Jetta brand-separated from FAW-Volkswagen, the relevant person in charge of the FAW-Volkswagen brand replied to the financial network: "the production and marketing of the Jetta brand has always been integrated, and this is only the transfer of the normal internal organization. Jetta is not separated from FAW-Volkswagen, Jetta brand Chengdu branch is also a part of FAW-Volkswagen, Jetta brand headquarters is originally in Chengdu." In other words, the Jetta brand is indeed undergoing internal structural adjustment, but it is not separated from FAW-Volkswagen, and it is still a FAW-Volkswagen brand after structural adjustment.

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