Volkswagen's heavy investment in China is a key element of the automaker's plan to become the world's largest automaker by 2018.

In a statement posted on its Web site, VW disclosed that it plans to invest 51.6 billion euros in its global automotive operations over the next five years.

VW's China investment - which is not included in its global total - will be funded entirely from cash flow generated by the automaker's Chinese joint ventures.

Currently, VW maintains two joint ventures with Shanghai Automotive Industry Corp. and FAW Group. In the first nine months, VW's group sales in China totaled 1.4 million units, ahead of No. 2 automaker General Motors' group sales of 798,000, according to J.D. Power and Associates.

While VW's statement did not offer details of its planned China investment, the company already has announced several projects.

This year, VW announced a four-year, 6 billion euro plan to build two new Chinese assembly plants, double production to 3 million units and add new models.

The VW brand is currently China's best-selling brand, while its Audi brand is the country's most popular luxury brand.

Volkswagen is also starting to build its Skoda brand in China.

Last week, Skoda CEO Winfried Vahland told a Skoda union newsletter that he wants to raise annual China production to 500,000 units, up from 131,800 units last year.

He did not offer further details about Skoda's plans in China.