FAW-Volkswagen began operations this week at a newly built plant in the city of Changchun in China's north-eastern Jilin province.

A total of CNY6.4bn (US$1.02bn) has been spent on the factory which has a designated production capacity of 150,000 vehicles per year valued at CNY160bn.

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The plant is dedicated entirely to the production of Audi's Q range of SUVs and has advanced production facilities including 510 robots in its welding and painting workshops. 

Audi sold over 595,000 vehicles in China last year and the new plant will increase the company's exposure to fast rising demand for SUVs in the country.

A total of 16 new Audi models are scheduled to be launched in China this year, according to local reports.

Separately, FAW announced it had moved to a new headquarters complex in the city of Changchun, near its existing headquarters, as the automaker gears up for a decade of strong global growth.

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The new complex consists of 14 buildings including offices, R&D facilities and convention and logistics facilities. It will house some 3,500 staff across 22 departments.

FAW reportedly plans to make its Hongqi (Red Flag) subsidiary into a world class car brand and plans to launch its first electric vehicle this year – the first of 15 scheduled to be out by 2025.