VolkswagenVolkswagenGermany, 1938 > present98 models
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in sales in China for the first time in nine years, and it will make it China’s largest automaker. Both of them have sold over 3 million cars in China in 2013, but Volkswagen’s sales are about 70,000 units higher than GM.

China has become the world’s major automotive battleground. It is the largest single auto market in the world with 19.9 million cars, trucks and busses sold in 2013, and it is still growing. Sales are predicted to grow a further 10% next year

VW and GM have announced a combined $36 billion investment in China in the coming years to grow sales even more.

"You really have to understand that at present, we really have capacity problems. We could sell more,” said Jochem Heizmann, president and CEO of Volkswagen's China.

GM may be entering a tougher year in China. It has Mary Barra entering as the new CEO in January and has appointed a new head of GM China to begin in January as well. It plans to add four new models in the coming year, including a new entry-level brand called Baojun.

Stronger emissions rules may slow down car sales in the long term. The cities of Beijing, Shanghai, Guangzhou, Guiyang and Tianjin have all instituted caps on the number of license plates available in order to reduce the number of cars on the road and decrease air pollution.

Source: Automotive News