Volvo plans to double retail network in China, will soon offer luxury cars

Article by Christian Andrei, on May 2, 2012

Volvo intends to increase its retail network in China to almost double while expanding to new luxury segments. This increases its model range almost three times. It also aims to boost engineering and technology capability in the region. Senior Vice President Freeman Shen at Volvo's China operation commented that the expansion is an essential part of a plan to shell out at most $11 billion worldwide by 2016.

Shen also stated that the company considers China to be "a very important home market" and as their "second home." Zhejiang Geely Holding Group bought Volvo in 2010 for $1.7 billion from Ford Motor Co.

At present, China is the third biggest market of Volvo, Shen further revealed. Volvo intends to put 200,000 vehicles for sale in the country by 2020. This is far greater than the 47,150 units achieved by the company last year.

Within 10 years, Volvo aims to increase sales by 100% to 800,000 vehicles worldwide. In an effort to grow in China, the automaker is ramping up its business in the nation. By 2017, the retail network of Volvo in China will reach 220 dealers from 125 in 2011.

Shen noted that they see "a lot of" huge retail companies from the United States. However, he did not mention these specific U.S. retailers. 

Additionally, Volvo has ambitious plans for its engineering and product capability in the Chinese nation. It currently sells six models in the country, but intends to launch 10 new models within six years.

According to a Bloomberg report, the upcoming vehicle models are larger and more high-end. These new models also include small and medium vehicles like the V40 hatchback, as Bloomberg reported. [source: Autonews]

Topics: volvo, china

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Nearly a decade after Opel and sister brand Vauxhall introduced the Insignia large family car, these companies are now getting ready to unveil the second generation of this offering from...
by - December 7, 2016
After we caught a glimpse of the revamped Amarok, VW Australia once again wants to give its ute a sinister look inspired by the Mad Max movie franchise. The “Korama”...
by - December 7, 2016
Customers in the European market are known for leaning towards style and with this in mind, Nissan has revealed the special LEAF Black Edition. While the production run of this...
by - December 7, 2016
When Volkswagen unveiled the VW Atlas, it declared that this SUV is being developed for the United States and is set to arrive as a 2018 model. It also unveiled...
by - December 7, 2016
Did you miss the opportunity to get a brand new Dodge Viper? Well, here’s something you don’t want to miss. Dodge has announced a “final call” for orders for its...
by - December 6, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries