07:57 AM EDT, 03/13/2026 (MT Newswires) -- XPeng ( XPEV ) and Volkswagen have started mass production of their jointly developed ID.UNYX 08 all-electric sports utility vehicle for the Chinese market at the Hefei plant in eastern China, Volkswagen said Friday.

The two companies plan to launch 20 models in the country in 2026, with a market launch targeted within H1, Volkswagen said.

The company added that a second model developed under the collaboration will also hit the market within the year.

Volkswagen, which had been the dominant brand in China for a decade, has been overtaken in auto sales by China's Geely Auto and BYD in recent years, according to a Reuters report.