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German Volkswagen Group expects to sell more than 800,000 vehicles in China this year, encouraged by its strong sales in the first half.

The projection made by Volkswagen's China chief Winfried Vahland, rose by 711,298 Units, it offers the world's fastest growing major automotive market in 2006. Its January-June sales on the mainland and Hong Kong rose 24.6 years per cent on a year to record 431,369 units, including 379,705 Volkswagen brand cars, 49,267 Audi and Skoda 2274 units.

The record of the German company turnover is likely to help keep the best seller in the segment of passenger cars in China if its rivals such as General Motors Corp. and Toyota Motor Corp. have yet to unveil their first-half results on the territory. "This record sales () indicates that our" Olympic Program "has been successful in China," Vahland said in a recent interview in Beijing.

Volkswagen, the exclusive automotive partner of the Beijing 2008 Olympic Games, said outside the program in 2005 to launch 12-14 new models by 2009 in China. The manufacturer also plans to reduce costs by 40 percent by 2008 and to improve sales and service networks.

Vahland predicted that China entire car market expected to reach five million units this year, up from earlier forecasts of the company from 4.6 million units. In 2006, 4.2 million cars were sold in the country. "However, we will not relent in our efforts to reduce costs and improve customer satisfaction, even if we have achieved much in the first half," he said. He warned that rising interest rates and prices oil in China are likely to have a negative impact on the automotive market.

The VW flashing alerts the manufacturer to a greener pasture. The German automaker now runs a joint venture with First Automotive Works Corp in the city north-east of Changchun. The company is responsible for the production of Bora, Caddy, Jetta, Golf and Sagitar, as well as the Audi A6 and A4. In addition, the company will launch a 1.8 liter turbo Magotan sedan next week.

The Mangotan also stratified fuel injection in almost all petrol versions. It varies from 1.6 to 3.2 L, but the 2.0 L TDI is the most sought multivalve the version in Europe. In the U.S., it has a 2.0 liter 200 horsepower turbocharged I4 as the base engine or a power 280 3.6 L VR6 engine as the upgrade and six-speed manual and automatic.

A Tiecheng, CEO of the company, said it plans to deploy at least two new models under the Volkswagen and Audi brands each year in the next five years to attract car buyers increasingly sophisticated .

The Mangotan VW, also known as the Passat, follows the design philosophy latest first time on the VW Phaeton luxury car. The new style is a dramatic departure from the style of the B5.5 Passat. Although the new design using VW parts is somewhat controversial, sales have improved since the old model.

For the full year, VW, which operates automobile manufacturing companies with major Chinese automaker SAIC Motor Corp. and FAW Group, aims to increase its sales by nearly a fifth and maintain its 17 parts per cent of world market auto second, an executive of the company said.

The company has a "minimum profit growth" of 25 percent this year from 2006, said Joachim Wedler, its vice president for finance. But Wedler did not reveal how the company, in which FAW holds a 60 per cent and 40 per cent of Volkswagen, will win this year.

The Wolfsburg-based company is one of the world.