• Jul 29, 2010
Volvo may finally part ways with Ford by the end of next week. The Detroit Free Press reports that the Blue Oval is aiming to close its $1.8 billion sale of the Swedish automaker to Geely in as little as 10 days, though Ford has merely said that its goal is to hand over the Volvo reigns by the end of the third quarter of this year. The move to send Volvo packing is part of Ford CEO Alan Mulally's strategy to slim the company down to focus on its core brands – a scheme that seems to be working so far.

In the meantime, Volvo managed to turn a profit of $53 million before taxes in the second quarter of this year. The news is a big leap from the same time last year – in the second quarter of 2009, the brand lost a heady $237 million. Ford's sale of Volvo seems to have been on glacial pace, partly due to the number of government agencies in the U.S., Europe and China that were needed to sign off on the deal. By the time the ink dries on the last document, Geely will have secured the largest overseas acquisition of any Chinese automaker so far.

[Source: The Detroit Free Press]


I'm reporting this comment as:

Reported comments and users are reviewed by Autoblog staff 24 hours a day, seven days a week to determine whether they violate Community Guideline. Accounts are penalized for Community Guidelines violations and serious or repeated violations can lead to account termination.


    • 1 Second Ago
  • 20 Comments
      • 4 Years Ago
      Nihao! Come ON...The cars are still made in Sweden (or Belgium), and all hardware in all cars are made in...you know...So, go and buy some SAABs and Volvos now, cars for a life less ordinary...
      • 4 Years Ago
      The Chinese finally get a foothold in the west.
      • 4 Years Ago
      Soo.....are they going to change the name to Wolwo??


      I kid, I kid...=)
      • 4 Years Ago
      I think I will stick to Ford in the future.
        • 4 Years Ago
        When Ford bought Volvo Car, the car factory stayed in Sweden, Gothenborg (and for the "small car range" in Belguim), and when Geely bought Volvo Cars the factory is still in Sweden, Gothenborg (and for the "small car range" still in Belguim)...so...if you buy a Volvo Car today or tomorrow, wont change the amount of american manufacturing jobs.
        So, go and buy a Volvo (or a SAAB) for a car less ordinary...

        Yes, im a Swede...
        • 4 Years Ago
        Even German is fine. Chinas taking enough of the worlds jobs, we dont need to send over the auto industry too.
        • 4 Years Ago
        Ford is in a winning mode. I hope they keep it up, the market has been starving for their brand of innovation for far too long.
        It's good they are cutting Volvo loose with the rest of the PAG. Now, they need to cut off the little bit of Mazda they have left.
        Their focus is getting super clear now as a result.
        • 4 Years Ago
        Word. China doesn't need to be any more powerful, that's for sure.

        As far as them taking more jobs, i doubt it is possible, they're actually having a problem with labor shortage right now!!! Imagine that.. 4 times the population of us and they can't keep jobs filled + people are striking for better wages..

        Also keep in mind that these were swedish jobs originally that we stole.. lol.
      • 4 Years Ago
      As a repeat Volvo owner, I'll reserve any judgement on the outcome. The thing is, I can see why a Chinese company is willing to shell out the bucks for Volvo.

      Safety.

      We've all seen the _stellar_ crash test results of Chinese cars. Now here comes Geely, who can say that their cars are safety engineered by Volvo. Wouldn't that put a lot more confidence than say Brilliance, which even after reengineering their BS6, still only managed a lowly 3-star rating?

      As for the future ... how's about a car that's more like an older Volvo too ... something that a DIYer can easily work on. That was a key reason why the 240 stayed relevant in the market for so long - durability and serviceability.
      • 4 Years Ago
      Oh Reely?
      • 4 Years Ago
      In the future, were will Ford get their new chassis? It seems almost every Ford is based on a Volvo now days.

      Not that there is anything wrong with Volvo but, Fords turn around will not be complete for me until they start producing some new vehicles not based on Volvos.
      • 4 Years Ago
      Kind of sad, honestly.

      Just as Volvo started getting some *good* designs and the economy starts improving..
        • 4 Years Ago
        His "prejudice" is probably based on their poor track record for things like human rights and IP.
        The bulk of the expense of a car company is in the daily operations, not in the initial CapEx. Ford is good to be rid of the company, as good (or as bad) as that may be.
        • 4 Years Ago
        Well, i never said they'd ruin it. They'll probably do quite well. I'm concerned about them finally getting a grasp on making good cars. Nobody can compete with China on price.. and they *can* build good stuff. I'm more fearful of them eventually dominating our auto market.

        xbox, wii, ps3, apple computers, ipods, dell, hp stuff... common things that we own and consider to be bulletproof are all built in China.

        I won't get started on how i feel about their government and human rights. That's for another post.

        I just wonder if the Volvo-Ford thing could still work out..
        • 4 Years Ago
        How is Volvo being sold to a Chinese corporation going to ruin it? Please provide some substance to your prejudice.
      • 4 Years Ago
      This post needs more naughty!

      I'm still trying to understand the S60 "naughty" marketing campaign.

        • 4 Years Ago
        Apparently people equate Volvo with boring. The campaign is supposed to dispel that, you know, with their new swoopy looking cars.
        • 4 Years Ago
        Yeah hopefully Geely axes idiotic ad campaigns. Seriously, since when will anybody equate Volvo with naughty? I don't care how many ridiculous parties they throw, that just ain't happening.
      • 4 Years Ago
      This is just the tip of the iceberg. The Chinese will rule the earth one day soon.
    • Load More Comments