Chinese-owned automaker Volvo Car Group issued a statement today saying it had received the long-awaited approval to begin manufacturing in China at its plants in Daqing and Zhangjiakou.
“As a result, Volvo Cars’ full Chinese industrial footprint, including Chengdu, has been approved,” the company, owned by Zhejiang Geely Holding Group, said in a statement.
Volvo, which was granted a manufacturing license for its Chengdu plant in June, expects to sell 200,000 cars in China by 2018 as its new production plants in the country become operational in coming quarters.
Also, earlier today it was revealed that the Swedish manufacturer would begin to develop along with its owner Geely new models for the latter, due out in the Chinese market around 2015. This jointly developed vehicles were the main reason behind the acquisition in 2010, as the local producers need to face increasing pressure from the big automakers on the home front.