Volvo may build as many as three plants in China

Article by Christian Andrei, on October 29, 2010

Swedish carmaker Volvo Cars could build up to three plants in China, according to Volvo CEO Stefan Jacoby. Volvo, which is owned by China's Zhejiang Geely Holding Group Co., aims to raise production in China.

In an interview last Wednesday at an automotive conference in Stockholm, Volvo said that its board will be deciding on the sites as soon as it gets the approvals from the country's regulators.

He explained that it would rely on the strength of its sales in China in the future. He mentioned that the southwestern city of Chengdu, a production hub for carmaker Geely Automobile Holdings Ltd., is a possible location.

Last August, Zhejiang Geely bought Volvo from Ford Motor Co. for about $1.5 billion. The expansion in China is believed to be the key to Volvo’s target of doubling sales to 800,000 cars in 10 years.

Volvo, which seeks to develop its dealer network, has yet to decide on the methods and the time frame for its plan to expand production capacity in China.

Currently, Volvo builds the S40 and S80L cars for the Chinese market at a factory co-owned by Ford and Chongqing Changan Automobile Co. Volvo can still use the plant for two more years. Jacoby, who previously headed US operations of Volkswagen AG, joined Volvo last August. [via autonews - sub. required]

Topics: volvo, china, factory

If you liked the article, share on:


Login or Create new account to add a comment!


It was only recently when BMW officially debuted the new 2017 5-Series Saloon (G30) online. At that time, this range revealed that it had driving dynamics that was the best...
by - October 26, 2016
Starting early 2017, the new Audi Q7 will be available with the new 2.0-liter TFSI four-cylinder engine that makes it not only faster but also lighter and more efficient than...
by - October 25, 2016
Soon, Fiat Chrysler’s Dodge brand will be ending the production of the Dodge Viper. So practically, the 2017 Dodge Viper will be the last Viper up for grabs. Gerry Wood...
by - October 25, 2016
Say hello to the fastest accelerating production car in the world: the new 2017 Tesla Model S P100D. Powered by a 100 kWh battery, this new model basically outruns almost...
by - October 25, 2016
Ever heard of the “Lynk & Co” automotive brand? Well, it is highly likely people haven’t. This is practically because this is new brand created by the joint venture between...
by - October 25, 2016