Renamed Taizhou factory Volvo acquires ownership of Luqiao factory from Geely Group

Bitauto News Volvo Cars issued a statement today stating that it has reached an agreement with its parent company Geely Holding Group to fully acquire the manufacturing business of the Luqiao Factory and integrate the factory into Volvo’s assets. According to the agreement between the two parties, the transfer will be completed within two years.

It is reported that the factory will further strengthen Volvo's production capabilities in China. This transfer also makes the ownership structure of Volvo Car Group and Geely Holding Group clearer. The factory has been owned by Geely since it was put into production in 2017 and has operational support from Volvo Cars. It will continue to produce models such as Volvo XC40, Volvo XC40 Recharge and Polestar 2.

In addition, according to Volvo’s naming predictions for domestic factories, Luqiao Factory will be renamed Taizhou Factory. The agreement between the two parties will not affect the operations of the plant, which currently employs 2,600 people in production and related support departments.