'Auto China 2018': ŠKODA's SUV campaign drives further growth

› Mainstream city SUV exclusively for China: ŠKODA KAMIQ celebrates trade fair premiere

at ‘Auto China’ in Beijing

› ŠKODA plans to double deliveries in China to 600,000 vehicles per year by 2020

› Record-breaking year 2017: ŠKODA delivers 325,000 vehicles in China

› China has been Czech car manufacturer's largest single market since 2010

› More than 2,350,000 vehicles delivered to customers since entering market in 2007

Mladá Boleslav, 23 April 2018 – ŠKODA intends to strengthen its favourable market position

in China and double its vehicle sales to 600,000 units per year by 2020. The brand is taking

the next steps in its model campaign for the Chinese market, which involves developing

SUV models that are tailored the wishes and requirements of customers in China. At the

‘Auto China 2018’ in Beijing (25 April to 4 May), ŠKODA will be presenting a new mainstream

city SUV. The ŠKODA KAMIQ is to be launched in the Chinese market just months after its

world premiere.

In 2017 ŠKODA celebrated its 10th anniversary in China, presenting three spectacular new

products. The Czech car manufacturer added the OCTAVIA COMBI and the two successful SUV

series – the KODIAQ and KAROQ – to its range of models. The brand will accelerate this growth

over the coming years by expanding the model range further. The model campaign is focused

on broadening the SUV range especially for the Chinese market. Last year, ŠKODA underlined

the importance of the Chinese market with the world premiere of the concept study VISION E –

the outlook for the ŠKODA’s first e-vehicle in the SUV segment – in Shanghai.

"ŠKODA sees particularly dynamic growth in the SUV segment on the Chinese automotive market,

as demand for SUV models in China has doubled in the past three years alone," says ŠKODA

AUTO CEO Bernhard Maier. "ŠKODA’s SUV campaign in China has begun with the successful

launch of the ŠKODA KODIAQ and KAROQ models. Continuing this campaign, we have developed

another SUV exclusively for the Chinese market – the new ŠKODA KAMIQ. ŠKODA will be

presenting the next large SUV later this year, expanding our offering to four SUV models in China."

The ŠKODA KAMIQ is positioned below the ŠKODA KAROQ compact SUV, rounding off the SUV

model range in China. Its design reflects the classic elements of ŠKODA's powerful SUV design

language and has been created exclusively for the Chinese market. With independently shaped

front and rear lights, however, the KAMIQ differs significantly from the SUV models KAROQ and

KODIAQ. In addition to the KAMIQ, ŠKODA plans to develop even more SUVs for the Chinese

market, which will be specifically tailored to Chinese customers’ requirements and wishes.

The history of ŠKODA in China dates back to the 1930s. In 1936, the traditional Czech brand

operated five commercial agencies in the region. In 2007, the Czech manufacturer returned to the

Chinese market. Under the umbrella of SAIC Volkswagen, ŠKODA started producing the OCTAVIA

locally, and since 2010 China has been ŠKODA's most important single market. In close

cooperation with the Chinese joint venture partner SAIC Volkswagen, ŠKODA has since become

an established volume manufacturer in China.

In 2017, the car manufacturer delivered 325,000 vehicles in China, growing by 2.5 percent

compared to 2016 (2016: 317,100 vehicles), making 2017 ŠKODA's most successful year since its

re-entry into the Chinese market in 2007. ŠKODA has delivered more than 2,350,000 vehicles to

customers in China since then – with the ŠKODA OCTAVIA, the brand's bestseller worldwide,

accounting for more than half of the total at 1.2 million units sold.

The OCTAVIA COMBI, which was introduced in the Chinese market last year, has achieved 6,400

sales since its launch. Almost 400,000 ŠKODA RAPIDs have been delivered in the region, and the

ŠKODA SUPERB has made an excellent contribution to the brand’s success story with 318,600

vehicles delivered so far. 265,100 of the small car ŠKODA FABIA have been delivered; sales of the

ŠKODA YETI stand at 82,600. The ŠKODA KODIAQ, which has been available in China since April

2017, has been very well received by Chinese customers. So far, 51,100 units of the large SUV

have been delivered. The compact SUV ŠKODA KAROQ launched in March 2018 achieved 400

deliveries in its first month of sales.

The foundation for the ŠKODA brand's profitable growth in China was laid on 30 March 2016, when

representatives of Volkswagen, SAIC Motor Corporation Limited and ŠKODA AUTO signed a

Memorandum of Understanding. The letter of intent signed during the state visit of Chinese

President Xi Jinping to the Czech Republic includes a five-year investment plan of over two billion

euros. The aim is to expand the model series to include several SUVs and vehicles with alternative

powertrains.