CAR FACTORY: Volvo Cars Manufacturing in China
Volvo Aims to be the first to export Chinese cars to U S.
Volvo Car Group is poised to become the first major automaker to build cars in China for the U S market, underscoring the threat of Chinese imports to the Detroit automakers.
The Swedish automaker acquired by Zhejiang Geely Holding Group Co in 2010, plans to export the midsize S60L sedan made in Chengdu in the US this year, Stefan Elfstroem, a spokesman for the company said aujourd 'hui in a telephone interview on the eve of the north American international Auto opening media Show in Detroit.
It Sá no baby to China is, from the perspective of the automotive industry, a true global player - not only a dominant force inside - in terms of volume, said Jeff Schuster, an analyst at LMC Automotive in Troy, Michigan it is a test, although these vehicles will be under some control in terms of making sure they keep the quality here in the US and global standards.
The Chinese auto industry target to follow Japanese and Korean manufacturers the U S has had many false starts.
In 2005, Chery Automobile Co intended to export cars to America by 2007 while Geely said at the Detroit auto show that it would sell a compact car in 2008 in the US for less of 10,000.
In 2007, Changfeng Motors in Detroit executives said they were also looking for dealers to start selling in the U S in 2008.
I do not think they thought they had the right product and I do not think they had the right quality, John Wolkonowic independent auto analyst in Boston, said they do not want to repeat what the Koreans Hyundai did with the first year, the Japanese have with Toyota in the first year - they all had a bad experience the Chinese say that they want to do that.
Volvo has the best opportunity to export to the U S because it is an international product, as opposed to a product in China, said Wolkonowic.
Chinese billionaire Li Shufu, Geely bought Volvo from Ford Motor Co. in 2010 The Swedish automaker is changing its product range over the next five years, while seeking to maintain its reputation for decades to safety Its objective main promotion when is the deployment this year of sports utility vehicle XC90, Volvo's first model completely designed under Geely ownership.
The brand, which has assembly plants in Sweden and Belgium, opened its first factory in Chengdu, China, in 2013, Volvo Cars CEO Hakan Samuelsson had reported that the company could use spare capacity to factory in China for exports Reuters reported earlier Volvo's export plans for the United States this year.
China has become the largest market last year for Volvo Cars with sales gaining 33 percent to 81,221 units.
Volvo aims to increase US sales expenses as it doubles its marketing by 67 percent and introduced new products, including the XC90 and V60 Cross Country wagon, as part of an effort to stem a number of ten years business declining US sales fell 7 9 percent last year to 56,366, according to Autodata Corp. researcher
The name Volvo has a lot of credibility, Tom Libby, an analyst with IHS Automotive, said There are not many issues surrounding it if there was a Chinese manufacturer name on it would Questions Is any good thing where can I get it repaired is the vendor these questions, honestly don t exist with Volvo fact that it's assembled in China will be a minor thing.
Volvo Aims to be the first to export Chinese cars to U, Volvo aims in the first place.