VW Extends Research Pact with FAW in China

Volkswagen AG and China's FAW Group Corp. have agreed to broaden their 20-year-old product development alliance for another 25 years.

Their current pact expires in 2016. The extension includes plans to "significantly expand" their joint R&D activities in China, move into new business areas and bolster their joint proving ground in Xinjiang province.

The companies also have agreed to expand a vocational training program that has already set up centers in Changchun and Yizheng.

VW says the program will add seven more facilities to train teachers and promote German training principles that link theory and practice in such areas as tooling, automation and vehicle assembly technologies.