Geely planning to sell 1 million Volvo vehicles annually, considers new China plant

Posted: Nov 11, 2009
Filed under: Ford, Industry News, Volvo

Zhejiang Geely Holding Group, which plans to purchase FoMoCo’s Volvo brand, has been working on a turnaround plan that will eventually double sales of the Swedish car brand to nearly 1 million vehicles a year. Under the plan, Geely is going to build a new plant for Volvo in China with an annual capacity of 300,000 vehicles, making use of China’s market potential and cheap labor.

Geely Automobile Holdings Ltd. of Hong Kong will also add two or three bigger and more luxurious models to Volvo’s lineup within the next three to four years.

The Chinese automaker is planning to sell 200,000 units a year in China, up from 12,600 units sold last year.

It forecasting selling nearly 1 million cars a year globally within the next four to five years – as compared to the recent annual sales of 400,000 units a year.

Last month, Ford confirmed Zhejiang Geely Holding Group is its preferred bidder for the possible sale of Volvo Car Corporation.

- By: Stephen Calogera

Source: Reuters

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  • amcarfan92
    If Ford sells Volvo to the chinese they are bloody stupid! They can't do that, then I would never want to see a new Volvo ever, and I will lose my respect for Ford. I have allready lost my respect for the Swedish for not making a new cool Amazon or PV and a P1200!!! those are the only Volvo's I like, I love them! The Chinese will never make a Amazon nor a PV that can live up to my expectations!
  • zermatt
    The Chinese own Hummer and India controls Jaguar and Land Rover. What made American ownership of Volvo better than Chinese ownership?

    What difference would it make if Volvo is still a well engineered and well made car?

    If quality and ingenuity suffers, so will sales.

    The Germans took over Bentley, Rolls Royce and Mini and the results are excellent. The Chinese may be better stewards of the Volvo brand - time will tell.
  • amcarfan92
    The difference would be that it's in the hand of the Chinese, that soon we will loose more and more to the Chinese. I say that's a bad thing, atleast with such historic and influential brand, the chinese has yet to do anything with hummer, hopefully it will not be a weak, bland box on wheels... not that it matters any more to me, AM General's army Hummvee is what I like and that is still American owned/made.

    If Cadillacs were Chinese, you wouldnt get an escalade, you would get something looking like a Ssangyong Rodius, If Chevy was Chinese you would get a Suzuki Palette as the new Camaro. Thats how I think it would be, I bet it would be something souless anyways (Corolla, Camry).

    Asian cars have no sense of style, soul and excitement like German, Italian and American cars have.
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