Volkswagen AG To Invest $85M In Innovation And Tech Projects

BERLIN (AP) — Volkswagen AG says it plans to invest €62 billion ($85.5 billion) in innovation and technology projects, primarily in Germany.

Europe's largest automaker said Friday the investment between 2012 and 2016 will focus on the development of more environmentally friendly cars like hybrids and electric vehicles, new drive systems and the modularization of production.

It says it also plans on increasing wind, solar and other renewable power sources for its factories.

CEO Martin Winterkorn says "Volkswagen is investing a record sum of money aimed at the future, in order to reach the goal of being the best automobile maker in the world both economically and environmentally."

The company has already announced plans to invest €14 billion more in China over the same time period.