http://business.rediff.com/report/2009/dec/24/auto-ford-to-sell-volvo-to-chinese-co-for-dollar-1-point-8-billion.htm

Moistened Xmas hankies to the ready as we wave goodbye to Volvo and SAAB.

Presumably white goods brands are next on the hit-list - although that's in name only as all the bits are already sourced there.

Nick

http://business.rediff.com/report/2009/dec/24/auto-ford-to-sell-volvo-to-chinese-co-for-dollar-1-point-8-billion.htm

Moistened Xmas hankies to the ready as we wave goodbye to Volvo and SAAB.

Presumably white goods brands are next on the hit-list - although that's in name only as all the bits are already sourced there.

Nick

Should have asked for a shoeshine kit and a chinese phrasebook for xmas :(

Doesn't bode well for future standards of manufacture:-

Another one to chalk-up to the bankers encouragement of over consumption. Though that said, it probably would have happened later rather than sooner. You'd have thought that if anyone could have resisted this trend it would be the Swedes with their socially moderated market.

Wonder how integrated their car business is with the defence side ? I know Britsh Waste of Space co-operate in the Grippen programme.

Nick

Theirs no change then! Many of the components are already made in China just like nearly all commodities today.

Theirs no change then! Many of the components are already made in China just like nearly all commodities today.

There is a change cause Chinese automotive safety is well behind the West, as the video above seems to show.

And the acquisition of brands whose safety reputation is well known is part of the attempt to remedy this situation. BBC R4 was saying (Possibly black propaganda) that the Americans only managed to clinch the sale by excluding the intellectual property rights from the deal - I would imagine that the bulk of IP relates to safety. So the Chinese will own the brand but not the technology to implement it. So its likely that the West will be flooded with cheap Volvo's which are not as crash resistant as the previous generation of cars. Don't worry though as the steadfast Department of Transport Type Approval System and the X-factor consumers won't even notice the decline in Encap ratings - witness the Suzuki jeeps farago.

Same happened when TV production moved from Europe to Korea and then onto parts of southern China there was, initially, a decrease in the quality, which has taken the best part of a decade to rectify. Of course, if you drop a telly there's no human damage, unless it goes on your foot.

Nick

Edited 24 December, 200916 yr by Clunkclick

big loss for Ford, but serves them right for being greedy barstewards in the first place, trying to outdo GM in the acquisition stakes has nearly killed both of these giants

and Volvo is probably their most profitable brand, with a large, loyal customer base

Look on the bright side people. Those who buy a Skoda get a well made car with decent safety. As for SAAB and Volvo, quite liked some of the older SAABs, but always hated the Volvo range. Ford keep screwing the pooch, I can see them having huge problems down the line. No tears will be shed here.

The chinese are getting the crash worthiness of their cars sorted out. It's far easier to design a car to perform well in the tests, than it is to upgrade an existing model. One main Chinese car company has been working with a large British importer for the last 7 years and they are planning to have the cars on sale in this country by the end of 2010.