VW started selling electric versions of the up! small car in August (Photo: VW)

Volkswagen, which has ambitious plans to boost its sales of electric vehicles worldwide, has signed a memorandum of understanding with Anhui Jianghuai Automobile Co. (JAC) to jointly develop battery-powered EVs in China.

The two carmakers said in a statement that they hope to jointly conduct research and development, manufacture and sell EVs and market mobility services.

"Together, Volkswagen Group and JAC will thoroughly explore all options how to concentrate our resources, including existing and future model platforms, technologies and other expertise, to achieve a competitive product strategy as soon as possible," VW Group China President Jochem Heizmann said in a statement.

JAC Chairman An Jin also cited a "full scope cooperation," adding: "We hope to develop this cooperation into a brand new business model during the process of the Chinese auto industry's opening up."

VW's "Strategy 2025" calls for the development of more than 30 new battery-powered EVs over the next 10 years.