Volkswagen Group VWAGY is replacing Stephan Woellenstein, CEO of its China operations, Reuters reported on Tuesday, citing sources.
What Happened: Woellenstein would leave the post on Feb. 1 after holding the position for three years.
Ther German automaker is in talks with three to four candidates to replace Woellenstein.
Woellenstein has been associated with China operations since 2012, holding multiple positions. He joined the German automaker in 1995.
Volkswagen didn't respond to Benzinga’s request for a comment at the time of publishing.
Why It Matters: The world’s biggest automarket China is a key market for Volkswagen. The second-largest global automaker has set ambitious targets to sell electric vehicles in China this year but still has a lot of catching up to do to meet that goal.
The German legacy automaker sold 1.85 million vehicles in the country during the first half of 2021, making China its single largest market with a 37% share of total volumes.
Volkswagen competes with homegrown electric rivals Nio Inc NIO, Xpeng Inc XPEV and market leader Tesla Inc TSLA in China.
Price Action: VWAGY shares 0.66% lower at $31.58 a share.
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