# Volkswagen plans farewell to legendary Santana model in China Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-11-10 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Volkswagen ends production of iconic Santana cars in China Meta Description: Volkswagen bids farewell to the iconic Santana cars in China after over three decades, shifting focus towards SUV models in response to changing consumer URL: https://financedigest.com/volkswagen-plans-farewell-to-legendary-santana-model-in-chinahtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2021-11-10t040939z2lynxmpeha906yrtroptp4autos-china-sales-1736837460471-compressed.jpg) BEIJING (Reuters) – Volkswagen plans to stop making Santana cars in China, bidding farewell after over three decades to its first Chinese-made model that became a symbol of the country’s rising middle class and helped fuel the German carmaker’s popularity. Volkswagen AG’s joint venture with SAIC Motor will end production of the Santana, Skoda’s Rapid and a current version of Tharu sport-utility vehicles (SUV) at its plant in the eastern city of Yizheng, government documents showed. That plant is the main factory responsible for making Santanas in China and has the capacity to manufacture 224,400 units a year. [Volkswagen did not directly comment on its plans](https://www.financedigest.com/volkswagen-investors-question-plan-for-ceo-to-lead-porsche-listing.html "Volkswagen investors question plan for CEO to lead Porsche listing") for the Santana but said in a statement to Reuters consumer tastes had shifted away from sedans toward SUVs. Customer preferences are gradually shifting away from notchback ICE (internal combustion engine) models towards BEV ( [battery electric](https://www.financedigest.com/battery-swapping-spurs-kenyas-electric-motorbike-drive.html "Battery swapping spurs Kenya’s electric motorbike drive") vehicle) and SUV models,” the company said. Production of Santanas began in China in 1985 and Volkswagen said more than 6 million had been delivered to [Chinese customers over the years](https://www.financedigest.com/liverpools-new-chinatown-perfectly-positioned-for-property-investment-this-chinese-new-year.html "Liverpool’s New Chinatown perfectly positioned for property investment this Chinese New Year"). It was unclear whether [Volkswagen would continue](https://www.financedigest.com/volkswagen-strikes-below-inflation-wage-deal-continues-german-trend.html "Volkswagen strikes below-inflation wage deal, continues German trend") to make Santanas in other markets. The affordable sedans – which became status symbols in the 1990s as [China’s economy boomed – have been credited with helping Volkswagen break](https://www.financedigest.com/analysis-no-china-no-deal-bid-to-break-sovereign-debt-logjams-gets-weary-thumbs-up.html "Analysis-No China, no deal: Bid to break sovereign debt logjams gets weary thumbs up") into the Chinese market and rise to the top rank of foreign automakers there in terms of sales. Volkswagen sold 3.85 million vehicles in China last year, ahead of second-ranked foreign manufacturer General Motors Co, thanks in part to its [shift in focus to more popular and profitable](https://www.financedigest.com/bp-makes-record-profit-in-2022-slows-shift-from-oil.html "BP makes record profit in 2022, slows shift from oil") SUV models. Competition in the family car market has intensified with the entry of more international [rivals and Chinese](https://www.financedigest.com/german-automakers-fight-to-defend-their-turf-from-chinese-rivals.html "German automakers fight to defend their turf from Chinese rivals") firms, putting pressure on some of the established foreign manufacturers. In the first 10 [months of this year](https://www.financedigest.com/independent-study-finds-infinidat-storage-can-provide-customers-125-roi-over-three-years-and-payback-in-less-than-six-months.html "Independent Study Finds INFINIDAT Storage Can Provide Customers 125% ROI Over Three Years and Payback in Less than Six Months"), SAIC-Volkswagen sold 970,438 vehicles, down 18% from a year earlier. Companies such as Hyundai Motor, Renault and Suzuki Motor have shut plants, exited joint ventures or quit the [Chinese market](https://www.financedigest.com/swiss-bank-ubp-returns-to-chinese-markets.html "Swiss bank UBP returns to Chinese markets") entirely. Instead of Santanas and Rapids, the Yizheng plant would make T-Cross and facelifted Tharu SUVs, Polo hatchbacks and Lamando sedans, according to the document. These arrangements would be completed in 2023. Volkswagen has other [joint ventures](https://www.financedigest.com/the-window-blinds-market-to-be-led-by-constructive-joint-ventures.html "The Window Blinds Market To Be Led By Constructive Joint Ventures") with FAW Group and JAC. All ventures are [building new plants for electric vehicles](https://www.financedigest.com/bmw-invests-1-7-billion-to-build-electric-vehicles-in-u-s.html "BMW invests .7 billion to build electric vehicles in U.S"). [(Reporting by Yilei Sun](https://www.financedigest.com/sun-realm-switches-complicated-spreadsheet-reporting-for-ground-breaking-insight-solution-generating-time-savings-of-over-30.html "Sun Realm switches complicated spreadsheet reporting for ground breaking Insight solution generating time savings of over 30%") and Brenda Goh; Editing by Stephen Coates) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---