Chinese carmaker Geely’s takeover of Volvo was a really mutually-beneficial affair for both parties involved. The former got access to the tech, while the latter received much needed cash to continue development of their models and stay afloat in a very competitive field.
Now, we have come to a point where Geely’s benefits are coming into play, because it has been announced that the Chinese company will release a series of models jointly-developed with Volvo under its own badge in 2015, reports Bloomberg.
The plan is to increase sales to 800,000 units per year, up from this year’s target of 560,000 and have everything coordinated from a common Geely/Volvo research center located in Sweden.
The upward trend seems to have already started for Geely, which is on its way to becoming the largest Chinese exporter of automobiles. Sales so far in 2013 are 19 percent higher than those recorded last year, and the promise of better-engineered cars comes only to build on it.
However, they are not only launching these better co-developed cars to boost exports, but also to remain competitive in China, where it faces pressure from increasingly strong domestic brands and an exponentially-growing foreign presence, according to the Bloomberg report.
By Andrei Nedelea
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