Volvo expanding production capacity for the XC60 crossover due to US demand

Article by Christian Andrei, on January 18, 2011

Volvo Cars CEO Stefan Jacoby said the carmaker will increase production capacity for the XC60 crossover as Volvo anticipates that U.S. demand will spur growth. Jacoby, who plans to more than double sales to 800,000 vehicles in 10 years, said the company expects "to grow significantly" in the United States and globally.

A unit of Zhejiang Geely Holdings Group Co., Volvo boosted sales 11 percent to 373,525 cars in 2010 and expects the S60 sedan and XC60 will boost another year of increased sales, with deliveries likely to rise at least in line with a 6 percent to 7 percent growth projection for global auto demand, Jacoby added.

He recently said at the Detroit auto show that Volvo, the Swedish brand sold by Ford Motor Co. to Zhejiang Geely in 2010, is increasing annual production capacity at its factory in Ghent, Belgium, for the XC60 to 110,000 units from 95,000.

Volvo Cars aims to take market share in the U.S. after posting a 12 percent decline in 2010 sales.

To help boost U.S. sales, Jacoby renewed Volvo's leasing program and is expected to spend more on marketing. As an example, he cited that Volvo's advertising budget for the first quarter is more than its entire 2010 spending.

The exterior of the XC60, considered as the best-selling model of Volvo, gets a modern and urban twist. Its front for instance has been redesigned giving the hood a new shape, one that highlights a confident and wide appearance.

Fedde Talsma shares that the company removed any black trim to give the car one body color. While its new headlamps have a determined and focused look, Talsma continues, the horizontal lines, with the chrome bars, placed on the grille underscores the width of the car.

Aside from the exterior, the interior of the XC60 also experienced an upgrade. There is a new headliner, new wood inlays, and textile B-pillars. There are silk metal frames placed around the light controls and air vents.

The improved XC60 offers a commanding driving position and this is supported by the top-of-the-class chassis and large ground clearance. This is because the XC60 was designed to have the same agility as that of a road car with standard height.

The Corner Traction Control is standard. This particular torque vectoring system aids the driver in preventing understeer by putting on the inner wheels the correct amount of brake force. At the same time, it also powers the outer wheel especially when the vehicle is accelerating from a corner.

It is also equipped with the All-Wheel Drive, making the Volvo XC60 a very capable vehicle regardless of the kind of weather or type of road. Offered as an option is the Hill Descent Control that can increase this capability by controlling automatically the speed of the vehicle when it is going down steep slopes.

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