Volvo under Chinese ownership - Dodge Nitro Forum
Off-Topic Discussion If you have something to discuss that is not related to the Dodge Nitro, post it in here. Keep it work safe!

LinkBack Thread Tools Display Modes
post #1 of 1 (permalink) Old 08-02-2010, 10:03 AM Thread Starter
Super Moderator
rickaren's Avatar
Join Date: Nov 2006
Location: Indiana
Posts: 22,852
Volvo under Chinese ownership

Volvo Sale Complete

Aug 02, 2010

An iconic Swedish brand is now officially under Chinese ownership.

"Geely Holding Group completed its acquisition of Ford Motor Co.'s Volvo unit Monday in a $1.5 billion deal that gives the small-but-ambitious Chinese automaker a global brand and huge management challenges," writes the Associated Press.

ABC News reports, "Geely's plan includes using the Swedish nameplate to produce luxury brands in China, which passed the United States last year to become the world's biggest auto market, while maintaining its operations in Europe to supply the international market."

"Geely paid $1.3 billion in cash today and issued a $200 million note for the acquisition, Dearborn, Michigan-based Ford said in a statement. Stefan Jacoby, Volkswagen AG’s former U.S. chief, will succeed Stephen Odell as Volvo’s chief executive officer, Geely said in a separate statement," says Bloomberg.

While Volvo allows Geely to tap into the burgeoning luxury car market in China, the challenges the brand faces are steep. Last year, Volvo sold 334,000 cars, but reported a loss of $653 million. In fact, Jalopnik points out, "In 1999, Ford paid $6.5 billion for Volvo. Today, Ford sold Volvo to Zhejiang Geely Holding Group for $1.8 billion — a loss of over 72%"

For Volvo buyers, little should change in the near term. "Under the terms of the sale, Ford will continue to supply Volvo with everything from powertrains to stamping systems and other vehicle components for differing periods of time. Additionally, Ford and Geely have come to an agreement on intellectual property usage, with Volvo allowed to grant sub-licenses to specific systems to third parties, including Geely," writes Autoblog.



Nitro Year: 2007 (1 of 91,815 sold in 07)
Nitro Model: R/T 4X4 Stone White
CAT-BACK Exhaust, CAI, Projector Head Lamps
Fully-Equipped w/all factory options
rickaren is online now  
Sponsored Links

  Dodge Nitro Forum > Off-Topic Area > Off-Topic Discussion

Quick Reply

Register Now

In order to be able to post messages on the Dodge Nitro Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Please enter a password for your user account. Note that passwords are case-sensitive.


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page
Display Modes
Linear Mode Linear Mode

Similar Threads
Thread Thread Starter Forum Replies Last Post
Saturn Dealers may have Chinese cars rickaren Chrysler/Dodge/Jeep News 0 11-18-2009 01:10 PM
GM advisers said to suggest retaining Opel ownership rickaren Chrysler/Dodge/Jeep News 0 08-24-2009 10:09 AM
Fiat:will build Chinese Factory rickaren Chrysler/Dodge/Jeep News 1 07-06-2009 10:30 AM
Buy American, get Chinese engine rickaren Chrysler/Dodge/Jeep News 0 03-27-2008 01:07 PM
Chrysler still enthusiastic about the Chinese auto market rickaren Chrysler/Dodge/Jeep News 0 06-15-2007 03:15 AM

Posting Rules  
You may post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On

For the best viewing experience please update your browser to Google Chrome