The company is trying to promptly alter your entire auto industry.
Last month we reported that Volvo Cars will establish a joint venture with Geely for the exchange of technology. And now partners have announced the completion of the formation of two new companies for the development of existing and development of future solutions, as well as revealed some new details of the agreement.
They say that the new joint venture will provide savings by increasing the scale of the work and to expedite the establishment of electrified vehicles of the next generation.
The joint venture, called GV Automobile Technology (Ningbo) Co. Ltd., will be owned Volvo Cars and Geely Holding 50/50. The headquarters will be located in China and in the Swedish city of Gothenburg will be an additional office. The company will find the best connectivity options for Volvo Cars, Geely Auto and LYNK & CO (a brand created last year) in procurement and technological solutions.
In addition, there will be a separate company LYNK & CO, fully responsible for the range of cars LYNK & CO, jointly owned by Volvo Cars, Geely Holding and Geely Auto. Volvo Cars becomes the holder of 30% stake LYNK & CO, 50 % will be owned by Geely Auto, Geely Holding will become the owner of the remaining 20% of the new company.
It should be noted that Volvo Cars and Geely have already practiced the exchange of technology. It works on the example of compact modular architecture (CMA). It is used in the manufacture of machinery Volvo 40-series, as well as cars from LYNK & CO.