This Day, That Year: Oct 10

Editor's note: This year marks the 70th anniversary of the founding of New China.

On Oct 10, 1984, the contract to set up the Shanghai-Volkswagen joint venture was signed at the Great Hall of the People in Beijing.

Before that, the first Volkswagen Santana was assembled in April 1983 by a team from Shanghai Auto, as seen in this item from China Daily. It marked the beginning of Volkswagen vehicle production in China.

In 1985, Shanghai Volkswagen Auto Co was established, and production started on Sept 1 that year. By the end of the year, the German-Chinese joint venture had produced 1,700 vehicles.

Since its successful operation in the 1980s, China's auto industry has changed beyond recognition.

China joined the World Trade Organization in 2001. To compete with imported products, carmakers launched more locally made models and started to reduce retail prices to more affordable levels.

As a result, the auto market grew by 62 percent in 2002 and 83 percent in 2003, and many overseas companies, including BMW, Fiat-Chrysler, Ford, Hyundai, Mazda, Mercedes, Toyota and Nissan, began to form joint ventures in China.

By 2009, China had surpassed the United States to become the world's top market for production and sales of automobiles, with 13.8 million vehicles sold.

In 2015, China overtook the US to become the world's largest market for electric and plug-in hybrid vehicles, with sales totaling about 340,000 units, according to the China Association of Automobile Manufacturers.

Last year, 3.11 million Volkswagens were delivered in China, almost half of its global sales and 13 percent of passenger car sales in the country.

Volkswagen does not limit its efforts to making and selling cars-it has made forays into China's increasingly popular mobility sector.

In December, its joint venture with ride-hailing giant Didi Chuxing Technology Co was established in Shanghai, with Didi holding 60 percent of the company.