And what if a large portion of future European Volkswagens used technology developed in China? The German automaker is exploring this possibility to reduce its development costs. A major shift that would also involve Skoda and Cupra, but which has not yet been validated.
Volkswagen could equip its European cars with Chinese technology
Volkswagen is considering a strategic shift that would have been hard to imagine just a few years ago. The German group is studying the possibility of using in Europe an electronic architecture developed in partnership with the Chinese automaker Xpeng. According to Autocar, this solution could equip up to 75% of the future mass-market models of the VW, Skoda and Cupra brands.
Known as China Electronic Architecture, or CEA, this technology was initially designed for vehicles destined for the Chinese market. It rests on a centralized electronic architecture, where powerful computers take charge of many functions that used to be handled by multiple units.
The goal is not to replace a vehicle platform or an engine directly. It is rather to rethink the architecture that allows the different systems of the car to communicate and operate together. An evolution that has become essential with the development of over-the-air updates, as well as driver-assistance features and numerous digital functions.
Why Volkswagen is considering turning to Xpeng in Europe
This reflection comes amid strong economic pressure on European automakers. Developing electronic systems and increasingly complex software represents a significant investment. For Volkswagen, reusing an architecture designed with Xpeng could help reduce costs and development timelines for its future models.
CEA also presents a particular advantage: it can be used on internal-combustion, hybrid or electric vehicles. It would therefore not be reserved for battery-powered vehicles. This is an important feature for a group that sells several powertrains and is looking to limit the proliferation of technical solutions.
Volkswagen is also developing another architecture, called RVT, with the American Rivian. It is intended for Western markets and is expected to appear in the production version of the upcoming small electric ID. Every1.
The automaker could therefore need to choose between two technological solutions, or decide to let them coexist across models. A crucial decision, both industrially and financially.
A decision still to be made for Volkswagen, Skoda and Cupra
Thomas Schäfer, CEO of Volkswagen and a member of the group’s executive board, confirmed to Autocar that this possibility was indeed under study. The executive believes the architecture developed with Xpeng could hold appeal for European models. But no final decision has yet been made.
One of the main hurdles concerns adapting to European regulatory requirements. A system designed for the Chinese market cannot simply be dropped into a car sold in Europe. The necessary modifications could add costs and thus reduce some of the anticipated savings.
Volkswagen must also consider its partnership with Rivian. The group is therefore looking to determine which architecture would be most competitive for each family of vehicles, without further complicating its industrial organization.
For drivers, such a change would not necessarily be obvious. It could however influence connected features, over-the-air updates, and the digital equipment of future Volkswagen, Skoda and Cupra models. It remains to be seen whether the German brand will actually take the plunge. But everyone seems to stand to gain.
