Audi opens Shanghai R&D center to accelerate local vehicle development

Audi and its Chinese partner SAIC Motor have opened a dedicated R&D facility in Shanghai, strengthening its local product development capabilities.

The AUDI Innovation and Technology Center, inaugurated on Thursday, will oversee the full vehicle development process for the China-focused AUDI brand, from initial product definition and engineering to mass production and delivery, the companies said.

"China is a key market for Audi and one of the most dynamic innovation hubs in the automotive industry. To succeed here, we need to develop close to our customers and rapidly translate new technologies into compelling products," said Gernot Doellner, chairman of the board of management of Audi AG.

"Together with our partner SAIC, the new technology center strengthens exactly these capabilities. In doing so, we are making a targeted investment in our long-term competitiveness in China," he said.

Jointly established by Audi and SAIC, the center will have around 300 employees. Its responsibilities cover vehicle development, software, artificial intelligence and advanced driver-assistance systems, as well as over-the-air software updates.

Jia Jianxu, director and president of SAIC Motor, said the automotive industry is accelerating its transition toward AI-defined vehicles, with China at the forefront of innovation.

SAIC will contribute its technology and industrial ecosystem capabilities to the center, combining German automotive engineering with Chinese digital technologies, he said.

A major focus of the center will be artificial intelligence and intelligent driving. Its development work will cover advanced driver-assistance systems, electronic and electrical architecture, and smart-cabin technologies, with hardware and software developed in parallel from the early stages of vehicle development.

Audi is also working with Volcano Engine, the cloud and AI service platform under ByteDance, to explore the use of its Doubao large language model in future smart-cabin systems.

The center is also advancing the second generation of Audi's Advanced Digitized Platform, known as ADP 2.0. Designed for the Chinese market's intelligent electric vehicle requirements, the platform will adopt a central computing architecture and zone controllers.

Audi says the architecture is designed to support future expansion toward Level 3 and Level 4 automated driving, subject to technological and regulatory requirements.

From 2028, the AUDI brand plans to introduce four new models based on ADP 2.0 in China, further expanding its lineup.

Fred Schulze, CEO of Audi and SAIC Cooperation, said the center would help the brand translate the expectations of Chinese customers into products more directly, combining Audi's engineering expertise with local development capabilities and faster decision-making.