Volvo to Build New Car Plant in China, Aims to Sell 200,000 Vehicles in the Chinese Market by 2015

At a press conference held earlier today in Beijing, Chinese-owned Volvo Cars announced plans to build a new plant in the city of Chengdu and continuing investigations for a second factory in Daqing, in north-eastern China. Volvo said that the deal is still pending approval from the Chinese government.

"We regard the Chinese market as the second home market for Volvo Car Corporation and a very important part of the plan to build a successful future for the company," said Stefan Jacoby, President and CEO of Volvo Car Corporation.

The Chengdu assembly plant will only build Volvo cars and have an initial output of around 100,000 cars annually, with production estimated to start during 2013. Volvo said that the decision to expand in China will not affect operations and employment in Europe.

"We will build an entirely new plant in Chengdu and further investigate the opportunities for establishing an additional factory in Daqing," said Jacoby. "Our production in China will, however, not have any impact on decisions affecting capacity utilization of our plants in Sweden and Belgium" says Stefan Jacoby.

The Swedish automaker, which was acquired from Ford by China's Geely in 2010, also announced that Shanghai will serve as Volvo Car China's headquarters and centre for product development, design and sourcing. "Among other priorities, Volvo Car China will also support Volvo Corporation R&D in Sweden regarding the development of electric vehicles and hybrids," the company said in a statement.

"The Volvo Car China Technology Centre in Shanghai will develop into a complete product development organization on an international level," said Freeman Shen, Volvo Car Corporation SVP & China Operations Chairman. "It will have the competence and capacity to work together with the HQ in Sweden, participating in Volvo Car Corporation's work process for developing entirely new models."

Volvo said that it plans to increase its business presence in the China and aims to reach a sales volume of about 200,000 cars a year in the country by 2015. The company's global retail sales during 2010 reached 373,525 (an increase of 11.2 per cent compared to 2009), with only 30,000 of those sold in China.

_______________________________GALLERY_______________________________

Volvo's Iconic P1800 Turns 50 This Year

Even if you are not a specialist in classic cars, you know you have seen this one before. And you're right, its fame came from being Roger Moore's ride in the TV series “The Saint”. In fact, the man who played Simon Templar liked the car so much that he bought one for himself.

Revealed at the 1960 Brussels Motor Show, the unmistakably-shaped Swedish coupe was not the first choice for the part in “The Saint”. The producers first asked Jaguar for the E-Type, but the British refused, arguing that the car didn't need more publicity. Volvo said yes and so the P1800 became known worldwide.

Production started in 1961 and almost 46,000 units of the model were made in various versions until production ended in 1973.

Probably the second most famous P1800 driver after "The Saint" is American Irv Gordon, who drove his Swedish coupe for 45 years, reaching more than 2.8 million miles (4.5 million km) without changing the engine, the transmission or the axles. A statement for the durability and the quality of an outstanding vehicle.

To celebrate the 50-year anniversary of the P1800, Volvo will participate at the TechnoClassica show in Essen (March 30 – April 3) with six special models: the X1 (the first prototype), a 1961 first series model assembled in the UK, a 1963 P1800S Rally, a 1966 1800S Volvoville (US-built convertible), a 1971 1800E and a 1971 1800ES.

Volvo P1800 timeline:

1959 – Volvo announces P1800 prototype built by Frua.

1960 – The car is showcased in Brussels, first pre-production cars tested.

1961 – Production car: 2-door coupe, steel body, 2+2 seating, 1.8-liter twin carburettor engine, 100 bhp/5,500 rpm. First 6,000 cars assembled in the UK by Jensen Motors.

1963 – P1800 is renamed 1800S to mark the start of Swedish assembly. Introduction of the 1964 model with improved 108 bhp engine, improved brakes and modified seats.

1964 – Revised interior, straight bumpers with rubber inserts.

1965 – Power increased to 115 bhp, diaphragm clutch, sealed greasing, improved brakes.

1966 – Modified front grille, chrome side trim introduced.

1967 – Three spoke steering wheel, minor interior changes.

1968 – 2.0-liter engine type B20, 118 bhp/5,800 rpm, fitted with emission equipment. Dual circuit braking system introduced.

1969 – 1800E model with Bosch electronic fuel injection developing 130 bhp at 6,000 rpm (B20E). ZF gearbox, disc brakes on all wheels, alloys, new dashboard.

1970 – Stronger Volvo-built manual gearbox or optional Borg-Warner 3 speed automatic introduced.

1971 – 1800ES estate car launched.

1972 – 112 bhp B20F engine USA-emissions compliant.

1973 – Production ends.

_______________________________GALLERY_______________________________

Volvo Adds Fuel-Efficient DRIVe Variants to S60 and V60 Range

Volvo is expanding its S60 and V60 lineup in Europe with the introduction of more fuel efficient DRIVe variants. Both versions use the upgraded 1.6-liter diesel engine that complies with the Euro 5 standard and is mated to a six-speed manual gearbox. The S60 and V60 DRIVe models also benefit from the use of a start/stop system, with the end result being low fuel consumption and reduced emissions.

The company said the S60 consumes on average 4.3 lt of diesel fuel per 100 kilometers equal to (54.7 mpg US) with CO2 emissions of 114 g/km, while the station wagon model returns 4.5 lt/100km (52.2 mpg US) with CO2 emissions of 119 g/km.

The addition of these two eco-friendly models means Volvo will have a range of seven models with CO2 emissions below 120 g/km, three of which dip under the 100 g/km mark. The Volvo range also include DRIVe versions of the C30, S40 and V50 models, with the V70 and S80 to join the family this spring. Both will have emissions of 119 g/km.

_______________________________GALLERY_______________________________

Volvo Releases Photos and New Details on V60 Plug-in Diesel-Electric Hybrid

Last month, we told you about Volvo's plans to reveal an almost production-ready diesel-electric hybrid version of the V60 at the Geneva Salon in March. Today, the Swedish automaker released a full set of photos and additional information on its Plug-in Hybrid, which will be launched in the market in 2012.

Pegged as the world's first diesel plug-in hybrid, the eco-friendly V60 is the result of close co-operation between Volvo Cars and Swedish energy supplier Vattenfall, and it promises to offer low fuel consumption and CO2 levels, combined with long range and high performance.

The V60 Plug-in Hybrid's powertrain consists of a five-cylinder 2.4-litre D5 turbo diesel with 215 horsepower and maximum torque of 440 Nm that drives the front wheels, and a 70HP-strong electric motor that receives its juice from a 12 kWh lithium-ion battery pack and motivates the rear wheels. The car also features a six-speed automatic transmission.

The car's battery package can be recharged via a regular power socket (230V/6A, 10A or 16A), with the charging time depending on the level of the current. A full 10A charge takes 4.5 hours. The time is shortened to 3 hours with 16A, while a charge in a 6A socket takes 7.5 hours.

The driver can choose from three different modes via a set of push buttons on the center console: Pure, Hybrid and Power.

In Pure, the car runs only on its electric motor as much as possible, with the maximum driving range being up to 32 miles or 51 kilometers with zero emissions of carbon dioxide.

The Hybrid mode, which is the default setting whenever the car is started, makes use of both the diesel engine and electric motor. In this mode, V60 Plug-in Hybrid returns a fuel economy of up to 125 mpg US (equal to 150 mpg UK and 1.9 lt/100km) with CO2 emissions of just 49 g/km, and a total driving range of up to 746 miles or 1,200 kilometers.

Finally, in Power mode, the system is optimized to give the car the best possible performance, with the diesel engine and electric motor producing a combined power output of 215 + 70 horsepower and maximum torque of 440 + 200 Nm. According to Volvo, the station wagon model completes the 0 to 62 mph (100 km/h) sprint in just 6.9 seconds.

In addition to the three driving modes, there's also an AWD button in the centre stack that activates electric four-wheel drive. In this case, the central control unit manages torque distribution to the diesel-driven front wheels and the electrically powered rear axle.

There are some subtle styling differences over the standard V60 such as the modified instrument panel that offers information about diesel and electricity consumption, battery charge level and remaining range, the restyled bumpers and the lightweight alloy wheels wrapped around in low rolling resistance Pirelli tires.

"The second-generation hybrid is the perfect choice for the uncompromising buyer who wants a superbly carbon dioxide-lean car packed with driving pleasure. To get drivers to think green, we have offered both, in one traditional genuine sports wagon" said Stefan Jacoby, President and CEO of Volvo Cars.

"The technology is still undergoing development and testing, however, the car already points very clearly to what our customers can expect when the plug-in hybrid enters showrooms next year. What we've done is to spice it up with spearhead technology that allows the driver to choose: zero emissions, high-efficiency hybrid or full-on performance. Just select the mode that suits best," he added.

Volvo said that the added cost of the battery pack and the electric motor system means the plug-in hybrid will be more expensive to buy than a regular V60, but added that fuel costs are expected to be one-third of a conventional combustion engined V60. Pricing and market availability will be announced nearer the 2012 launch date.

_______________________________GALLERY_______________________________