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Chinese-made Volvos to be exported to USA...

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Old Jan 15th, 2014, 02:34   #1
irishcarfan
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Default Chinese-made Volvos to be exported to USA...

http://www.autonews.com/article/2014...ckly-says-ceo#

Makes sense for Volvo as they need to survive, but today's Volvo is a very different company from the one that I knew 20 years ago.
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Old Jan 15th, 2014, 07:02   #2
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Comes as no surprise; the automotive sector is (and has been for decades) a global one and Volvo has had a Chinese parent for a while - Volvo has made cars in many other countries in the past...so nothing new only the ownership.

Volvo has made cars in -

Australia
Belgium
Canada
Holland
Malaysia

and of course Sweden.

Jon.
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Old Jan 15th, 2014, 13:33   #3
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Mercedes now manufacture cars in China. More jobs being exported. Have we priced ourselves out of the industrial market?
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Old Jan 15th, 2014, 13:35   #4
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Wink

That's stuffed then!
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Old Jan 15th, 2014, 13:59   #5
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I think part of the reason mfrs build in the likes of China, Brazil etc is not only cheap labour but to the enter the markets there they need to produce there. Govts in those countries, India as well, place massive barriers to importing goods and the best way around them is to start mfr there. You can't do that if you are a small company but you can if you are a multi national. Of course ideally, the likes of the EU, USA, WTO should stand up to these countries and create equal trade conditions but unfortunately they are ineffective.
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Old Jan 15th, 2014, 16:39   #6
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What Harvey has said above is true and in relation the Chinese market they produce some unique models to cater specifically to the Chinese with longer wheelbases as they prefer to be driven rather than drive.

For instance the S80L



You have to remember that these will only be going to the Yanks and Asian markets really. It makes a lot of sense to manufacture out there in some cases.
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Old Jan 15th, 2014, 18:01   #7
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Automobile manufacturers have for many decades produced cars and commercial vehicles outside their home countries (Mercedes in South Africa for example): it is only logical that some of the models produced would be unique to the markets they're being produced in.

Same goes for motorcycle manufacturers.

As mentioned this is nothing new, and lower labour costs are only a part of the equation.

Jon.
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