Volkswagen's China-based automated driving joint venture Carizon is deepening its partnership with Horizon Robotics to accelerate development of advanced automated driving technology. The German automaker announced Wednesday that the collaboration would speed in-house development of Level 3 and Level 4 autonomous driving capabilities.

Deliveries of Level 3 capabilities are expected by the second half of next year. Level 3 automated driving represents technology that fully takes over steering, braking and acceleration under specific conditions, and while the driver doesn't have to keep their hands on the steering wheel, they have to remain ready to take control.

Level 4 refers to a fully self-driving system that requires no intervention from the driver, but is limited to specific areas, weather conditions and speed limits. The strengthened tie-up underscores Volkswagen's commitment to advancing self-driving technology in the Chinese market through local partnerships.