China-based Lynk & Co to piggybacking on Volvo to launch its brand of cars

The strategy to gain valuable experience from Volvo’s assembly line before launching its own production in its plant is likely to be a strategic decision taken by Lynk & Co and taps strategic resources – China’s financial clout, the strength of German engineering and Volvo’s brand value.

On Wednesday, a senior Lynk & Co official disclosed that China’s Volvo Cars unit along with its Zhejiang Geely Holding Group is weighing its options of producing the vehicles at the Volvo plants in Belgium and in South Carolina, U.S.

Lynk & Co plans on launching its cars in Europe in 2019, followed by the U.S., in the following year.

Its first model, the )1 compact SUV, which starts at $24,065.71 (158,800 yuan), is being produced in the same assembly line as Volvo’s new XC40 crossover SUV at a new Volvo-operated plant in Taizho.

In 2018, Lynk & Co is expecting to commence the production of its cars in Zhangjiakou.

Alain Visser, Lynk & Co’s senior vice president, stated this same arrangement willbe extended to the U.S. and Europe whereby Lynk & Co’s cars will be first produced in Volvo’s assembly line and later shifted to its own.

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Categories: Creativity, Entrepreneurship, HR & Organization, Strategy, Sustainability

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