Volkswagen AG and its joint-venture partners plan to nearly double capacity in China to 1.36 million vehicles by 2007. VW is the dominant auto maker in China but in recent years has seen its market share erode in the face of intense competition. Its move to boost capacity is seen as a way to protect itself against a continuous onslaught of new competition. Analysts say that the expansion may cause the Chinese market to experience yet another price war. The increase would put VW China ...
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