8727
Volvo to Sell China-Made Cars in US
World Economy

Volvo to Sell China-Made Cars in US

Volvo Car Group plans to export a Chinese-made midsize sedan this year to the United States, and is starting to weigh the possibility of building a vehicle factory in the United States, people familiar with the Chinese-owned automaker’s plans said, Yahoo news said.
Both moves would be significant for the auto industry and Volvo’s parent, Zhejiang Geely Holding Group Co. So far, global automakers have chosen not to ship vehicles made in China to the US market in any significant numbers, and efforts by Chinese automakers to export vehicles to the United States have foundered.
Volvo is also behind rivals BMW and Mercedes in establishing production in the United States, which insulates the German brands from currency fluctuations.
Volvo might also export a large “strategic, flagship” sedan based on a newly developed underpinning technology, said the executives, who work for Zhejiang Geely. That car would be shipped out of China in addition to the Volvo S60L, a long wheelbase version of the S60 sedan Volvo began producing in the southwestern China city of Chengdu more than a year ago.
The moves are aimed at reviving Volvo’s momentum in the U.S. market where volume last year fell 8 percent from 2013 to 56,371 vehicles. The US market, which has long been Volvo’s largest market, was replaced by China last year. China bought 81,221 Volvos in 2014, up 33 percent.
More broadly, the moves are part of Geely’s turnaround strategy for Volvo which has struggled to go beyond being a brand with an annual volume of less than a half-million vehicles. Thanks to its focus on China where the brand expanded its distribution network and product portfolio, Volvo sales volume is on the rise. It sold a total of 465,866 vehicles globally last year, up 9 percent from 2013.

Short URL : http://goo.gl/lSn0PL

You can also read ...

China Warned of Ballooning SOEs
Former chief of the World Bank Robert Zoellick cautioned China...
Business confidence fell to its lowest level since August 2013 and around 7% of companies expected a contraction.
According to data from the International Monetary Fund in...
Shrinking unemployment in the US, Japan and the eurozone finally forces companies  to lift wages to retain and attract staff.
Workers in the world's richest countries are getting their...
New Zealand Q2 GDP Growth Picking Up
New Zealand’s economic growth is expected to have accelerated...
Saudi Sovereign Fund Secures $11 Billion Loan
Saudi Arabia's sovereign wealth fund said Monday it had...
Lira Eases Against Dollar
Turkey’s lira weakened against the dollar on Monday as...
By 2025 more than half of all current workplace tasks  will be performed by machines.
Robots will handle 52% of current work tasks by 2025, almost...
Myanmar Businesses Want Lower Taxes
Myanmar businesses are urging the government to lower the...

Trending

Googleplus