Volkswagen has unveiled the ID. Unyx 08, a China-exclusive electric SUV that looks nothing like a traditional Volkswagen—and that’s exactly the point. The five-meter electric SUV, co-developed with Chinese EV maker Xpeng, represents the German automaker’s acknowledgment that it can’t beat Chinese competitors at their own game, so it’s joining them instead.

The production version of the ID. EVO concept showcased at the Shanghai Auto Show in April marks a radical departure for Volkswagen. Without the VW badges, identifying this vehicle as a Volkswagen would be borderline impossible. That’s the strategic gamble Volkswagen is making as it fights for survival in the world’s largest EV market.

First Fruit of Volkswagen’s Xpeng Partnership

The ID. Unyx 08 represents the first vehicle born from Volkswagen’s July 2023 partnership with Xpeng, where the struggling German giant invested in the Chinese EV maker and agreed to co-develop two Volkswagen-branded models. According to documents filed with China’s Ministry of Industry and Information Technology, the SUV shares significant technology with the Xpeng G9, including its platform, electrical architecture, and advanced driver assistance systems.

The ID. Unyx 08 measures 196.9 inches (5,000 millimeters) long with a wheelbase of 119.2 inches (3,030 millimeters), making it larger than a Touareg but smaller than an Atlas. The dedicated EV platform enables that notably longer wheelbase compared to gas-powered models, promising spacious interior accommodations for five passengers.

Volkswagen Anhui, the joint venture building the vehicle, will begin production in the first half of 2026 at its facility in China—Volkswagen’s largest R&D center outside Germany.

Performance Specs Target Chinese Market Expectations

Chinese buyers will choose between two powertrain configurations. The single-motor rear-wheel-drive variant delivers 230 kilowatts (308 horsepower), while the dual-motor all-wheel-drive setup adds a 140-kilowatt front motor to the 230-kilowatt rear unit for nearly 500 combined horsepower.

Power comes from a CATL-supplied lithium-iron-phosphate battery providing over 435 miles (700 kilometers) of range, though that figure uses China’s lenient CLTC testing standard. Real-world range would likely fall closer to 360 miles under more rigorous EPA testing.

The SUV supports 800-volt ultra-fast charging, a technology Chinese automakers have already deployed while Volkswagen’s global models still largely use 400-volt systems. Exact charging speeds haven’t been disclosed, but the Xpeng G9 that shares much of this technology can charge at up to 525 kilowatts.

Advanced Features Borrowed From Chinese Playbook

The ID. Unyx 08 includes Level 2+ advanced driver assistance with “parking spot to parking spot” autonomous capability on urban roads and highways—technology Volkswagen struggled for years to develop in-house through its troubled Cariad software division. The system receives over-the-air updates for continuous improvements, another feature Chinese EV makers pioneered while traditional automakers fumbled.

Inside, drivers interact with an AI assistant powered by a large language model, turning the vehicle into the “rolling smartphone” that Chinese consumers expect but Volkswagen’s global ID models never delivered. The cabin features what Volkswagen describes as a wraparound cockpit design with eco-friendly materials.

Notable exterior details include Brembo brakes, a wolf motif integrated into the third brake light, split headlights with ultra-slim LED strips extending nearly to the centered VW badge, flush door handles, and frameless doors with blacked-out A-pillars creating a floating roof effect.

Part of Massive China-Specific Offensive

The ID. Unyx 08 joins the smaller ID. Unyx 06 compact SUV (essentially a rebadged Cupra Tavascan) and the ID. Unyx 07 sedan in Volkswagen Anhui’s growing portfolio. The entire ID. Unyx sub-brand targets younger Chinese buyers through 40 exclusive stores in 20 cities featuring virtual and augmented reality experiences.

This model represents just one piece of Volkswagen’s “In China, for China” initiative, which plans to launch more than 30 electric vehicles in China by the end of the decade. The company is simultaneously developing range-extended electric vehicles with small gasoline generators—another technology Chinese brands popularized—to address persistent range anxiety in a market where charging infrastructure remains inconsistent outside major cities.

EVXL’s Take

Volkswagen’s ID. Unyx 08 tells you everything you need to know about the current state of the global EV wars—and it’s not a pretty picture for legacy automakers. When a company with Volkswagen’s century of automotive engineering expertise essentially white-labels a Chinese EV platform and abandons all recognizable design DNA, that’s not innovation. That’s capitulation.

We’ve been documenting Volkswagen’s struggles in China for over a year. Back in August 2024, we reported on VW centralizing its EV development in Anhui after its Beijing R&D center and global ID series catastrophically failed to resonate with Chinese buyers. The problem? Chinese consumers compared VW’s outdated infotainment systems with small touchscreens to what domestic brands like Nio and Xpeng offered, and there was simply no contest.

Then in September 2024, we covered how German automakers faced an existential crisis as Chinese EV manufacturers ate their lunch. Foreign automaker market share in China collapsed from 66% in 2020 to just 38% by mid-2025. VW’s response? Partner with the very companies beating them and hope some of that technological magic rubs off.

The ID. Unyx 08’s reliance on Xpeng’s G9 platform, ADAS software, and electrical architecture isn’t collaboration—it’s admission that VW’s €2.4 billion investment in its Cariad software unit was money down the drain. Chinese automakers can develop and launch new models in 18 to 24 months. VW takes three to five years. When you’re that far behind, you don’t catch up. You license someone else’s homework.

The broader lesson here extends beyond Volkswagen. As we documented in our coverage of global carmakers reshaping their China strategies, the power dynamics that defined the automotive industry for a century have completely reversed. Western automakers once taught the world how to build cars. Now they’re students learning from Chinese masters who moved faster, invested smarter, and actually listened to what customers wanted instead of dictating what they should want.

And let’s be clear about what happens next. This technology won’t stay confined to China. Chinese EV makers are already expanding aggressively into Europe despite tariffs. Xpeng plans local European production, and they’re bringing the same advanced technology that’s now powering “Volkswagens.” The ID. Unyx 08 is what desperation looks like when wrapped in a press release about “localization strategy.”

What do you think? Can Volkswagen regain its competitive edge by adopting Chinese technology, or is this the beginning of the end for German automotive dominance? Share your thoughts in the comments below.