FAW-Volkswagen, a joint venture by the German auto giant in China, will add an automatic stamping production line to its production base in Qingdao, East China's Shandong province, the Qingdao Daily reported.

The auto maker has signed a purchase deal with a supplier, a Shandong-based machine tool company, on Oct 9. The production line, also applied by the US auto maker Ford, boasts the most advanced stamping technology in the world.

The production base of FAW-Volkswagen in the city, covering a total area of 650 hectares, is planned to include a manufacturing plant, a parts and components park and two logistics parks for cars and components.

The manufacturing plant, where the stamping workshop will be located, has enjoyed a first-stage investment of 14.4 billion yuan ($2.3 billion). It has started construction in November 2014, and is expected to go into operation in 2017, by which date its annual production value is expected to reach 30 billion yuan.

Edited by Mevlut Katik