The Quotes are Powered By Forexpros, the Forex, Futures, and Stock Markets Portal.

Volvo Car Corporation inaugurates Chinese plant

Wednesday, 05 June 2013

Volvo Car Corp., opened its doors for its new factory in Chengdu, China that will employ 1,100 people and plans to produce for the Chinese and Asian market.

Chinese-owned Swedish automaker, Volvo Car Corp., expects to be selling 200,000 cars a year in China by 2018, according to a senior executive as the company launched its first factory in the country. The Volvo factory is located in the Chinese city of Chengdu, Sichuan Province, population about 14 million people - more than population in all of Sweden.

Volvo Promo in China

The shiny new factory has about one hundred robots and some staff already in place. Volvo's manufacturing in China will be in a joint venture with the owner Geely.

"Here in China, it requires that all car manufacturers form a joint venture (JV) with a local partner, we will share the profits and costs. It is a joint venture in which we own an interest, "says Håkan Samuelsson, CEO Volvo Cars.

The factory in Chengdu is the first Volvo plant ever outside Europe. Staff at the factory will earn about a fifth of what the workers in the European plants earn.

The car brand which will be manufactured at the plant are S60L, an extended version of the S60. It is possible that the cars will be exported to other parts of Asia, according to Samuelsson.

When the plant will reach full capacity of 120,000 cars Lars Danielson, Volvo Cars China Chef, thinks that about 2,500 people will be working there.

An engine plant is already underway with its production and next year Volvo is planning to open another factory in China, so Lars Danielson expects Volvo within six or seven years, to have around 6000 -7000 employees in production in China.
In Sweden, close to that amount work within the in production sector today, including 3,500 at the factory in Torslanda.
By Scancomark.com Team

want to contribute to our news network? Do have a news tip or assist us with a correction? Please ...