Volvo's new factory to settle in Chengdu, Shanghai, Daqing

14:37, November 11, 2010      

Email | Print | Subscribe | Comments | Forum 

Geely chairman Li Shufu said on Nov. 10 that Volvo's new board has now decided to make China its "second home market” outside of Sweden and plans to build three plants in Chengdu, Shanghai and Daqing.

Li Shufu, chairman of Zhejiang Geely Holding Group, met visiting Swedish King Carl XVI Gustaf along with Swedish scientists and businessmen in Zhejiang's capital Hangzhou, where Geely is based, and answered questions concerning Volvo's future and whether it will cause job losses in Sweden.

Li said in the past three months, the new Board of Directors held two meetings, and the Board and management decided to build China into Volvo's second home market. It announced the management team in China and plans to set up three plants in Chengdu, Shanghai and Daqing. Li said Volvo's layout in China "is well underway."

Li said that Volvo's strategy in the future is local development, local production and local sales.

"Europe's Volvos are to be produced in Europe. Volvos in the Chinese market are to be produced in China," he said.

The delegation of King Carl XVI Gustaf and the Royal Swedish Academy of Engineering Sciences was invited by the Chinese Academy of Engineering to visit China.

Chinese carmaker Geely Holdings Group Co. Ltd. and Ford Motor Co. signed the acquisition deal on March 28 and Geely took over Volvo this August after paying 1.3 billion U.S. dollars.

Geely's 100 percent ownership of Volvo provided the Chinese automaker with Volvo's nine vehicle models, three of its latest production platforms as well as production capacity of 600,000 units and more than 2,000 sales locations worldwide.

As soon as the agreement was completed, the Chinese group named Li Shufu, chairman of the board for Zhejiang Geely Holding Group, as the chairman of Volvo. Volvo's brand value is estimated at 2 billion U.S. dollars.

By People's Daily Online


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion