Germany's Volkswagen Group and its Chinese partner have sold a factory in the Xinjiang region of China, where accusations of forced labor dogged the facility for many years.

Volkswagen and Shanghai's SAIC Motor have agreed to sell a factory in China's far western Xinjiang region that drew criticism due to accusations by western governments of human rights violations. The companies also said Wednesday that they were extending their 40-year-old automaking joint venture until 2040,

SAIC Volkswagen is based in Anting, Shanghai's Jiading district, and has production bases in Nanjing, Yizheng, Urumqi, Ningbo, Changsha, and other Chinese cities. In 2015, it surpassed FAW-Volkswagen Automotive, the JV of FAW Group and Volkswagen, to become the top-selling domestic passenger car company.