On March 6th, Jiang Zeming, the member of Political Bureau of CPC Central Committee and the secretary of Shanghai municipal committee of CPC, inspected SVW.

On April 12th, the result of the second poll of “Top Ten Joint Venture (Manufacturer) in China” was published. SVW ranked second.

On October 21st, the newly-established paint shop of SVW was opened.

On November 6th, general secretary of CPC Central Committee Jiang Zeming met with Dr. Hahn, the board chairman of VWAG and his associates.

On April 12th, the result of the first poll of “Top Ten Joint Venture (Manufacturer) in China” was published, and SVW ranked fourth.

On July 1st, the Shanghai Santana Localization Community was set up.

On August 24th, the training center of SVW composed of one teaching building, two practicing workshops, ten labs and life facilities was established.

On October 28th, the opening ceremony for general assembly line with the production capacity of 250 cars per day and quality assurance lab was held.

On March 27th, SVW held the fifth board meeting, and approved the project of expanding the production capacity to 60,000 cars.

On July 19th, “the leading team in support of SVW's construction” was formed. Vice Mayor of Shanghai Mr. Huang Ju acted as the team leader.

On October 23rd, the assembly line of SVW Engine Plant was put into production.

On April 19th, the Mayor of Shanghai Mr. Jiang Zeming inspected SVW.
In July, SVW began assembling Audi 100.

On August 1st, SVW began assembling Santana touring sedan.

On August 4th, the first localization meeting of Shanghai Santana was held in Shanghai.
On September 29th, the accumulated production output of Shanghai Santana reached 10,000 units.

On November 18th, General Secretary of CPC Central Committee Hu Yaobang inspected SVW.

On February 16th, State Commercial and Industrial Administration issued business license to SVW. Shanghai Volkswagen Automotive Company Ltd. was incorporated.

On March 20th, SVW held its first board meeting, and formed the first managing administration committee to be in charge of daily business of the Company.

On March 21st, SVW held the opening ceremony of the Company.

On September 1st, SVW was officially began its operation.

On November 30th, SVW signed the aftersales service agreement with the first eight authorized service stations in Shanghai.

On October 10th, the signing ceremony of the Joint Venture Contract for Shanghai Volkswagen Automotive Company Ltd. was held in Beijing. Mr. Raobin, Mr. Zhou Mengxiong, Dr. Hahn and Dr. Schmidt attended the ceremony and signed on the Contract.

On October 12th, Chinese Vice Premier Li Peng and Chancellor Kohl of F.R.Germany attended the foundation ceremony for SVW in Shanghai.