German Big Three Double Down on China, Accelerating EV and Smart Tech Push

Despite a general sales decline in China in 2025, Volkswagen, Mercedes-Benz, and BMW remain firmly optimistic about the Chinese market. At the 2026 China Development Forum, the CEOs of all three companies unanimously positioned China at the core of their global strategies. Facing challenges from the rise of domestic premium brands, the trio has unveiled aggressive countermeasures: Mercedes-Benz will launch dozens of new models in China over the next 24 months and expand its R&D in AI and robotics; Volkswagen declared 2026 its “Year of Products,” planning to roll out more than 20 electric vehicle (EV) models this year and exceed 30 by 2029; BMW confirmed that the new long-wheelbase version of the iX3 will enter production in Shenyang in the second half of the year. Moreover, all three automakers are deepening collaborations with Chinese tech firms, shifting from technology exports to co-building integrated ecosystems. By accelerating localization, these German automakers aim to safeguard their existing market share while capturing opportunities in the new energy vehicle and intelligent connected mobility sectors—demonstrating their long-term confidence in China.