Volvo looking for a partner to develop small cars
By Andrew, 26 Jan, 2012. 0 Comments
Volvo Concept You
To cut the costs of new-car production, Volvo is on the search for a partner to share in the development of its future small car range, the Financial Times reported. Volvo has been owned by Geely since 2010 when the Chinese firm bought it from Ford. Volvo is eager to help in dividing the costs of making new cars. Volvo’s chief executive Stefan Jacoby told the FT that the company is open to the idea of partnering.
He said that the company is “open for collaboration in a win-win situation for sharing platforms, for sharing engines and for a general higher scale of economics.” Jacoby said that there are several companies being considered but no detailed discussions have taken place yet. Since Jacoby moved to Volvo from Volkswagen in August 2010, he has streamlined the company and pushed for the development of a modular range of engines and a model platform that could underpin all types of vehicles from a hatchback to a large saloon.
In addition, he has decided to prioritize a new small car. In fact, the new V40 will be launched this March at the Geneva motor show. The car was pushed up the product cycle to arrive before the replacement for the XC90 full-size SUV. Volvo’s five-door hatchback is expected to rival the BMW 1-series and Audi A3. [source: Autocar]
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