Volvo was founded in 1915 in the Swiss city of Gothenburg as a subsidiary of SKF, a manufacturer of bearings. It was founded by former college classmates Assar Gabrielson, an SKF employee, and Gustav Larson. The idea to go into the car business came to young engineers in a restaurant, drinking beer and crayfish. Some time later, SKF management approved their idea and allocated funds for the development and production of the first cars.
The name Volvo is derived from the Latin verb volvete, which means "I roll." The Volvo emblem is a symbol of iron and the god of war Mars, who fought exclusively with iron weapons. The associations that this emblem is supposed to give rise to are reliability and durability.
In 1927, the first Volvo car appeared - an open-top phaeton with a four-cylinder engine. It was called OV4, and also had an unofficial name - Jacob. It was not just the first Volvo car, but the first car made in Sweden. The Volvo Jacob had a powerful beech and ash chassis and sprung seats, a rarity in cars of the 1930s. Engine power of 28 hp could accelerate the car up to 90 km / h.
In 1928, Volvo released its first sedan - PV4, and two years later - its modification PV651, with a six-cylinder engine with a capacity of 55 hp. With. This model was used as a taxi in Sweden. In the same year, the first Volvo truck, the Type 1, rolled off the assembly line.
At the Stockholm Motor Show in 1944, Volvo introduced the PV444. This passenger car became the "people's car" in Sweden, due to its high quality at a low cost. Initially, it was planned to assemble 8,000 cars, however, due to high demand, Volvo produced 200,000 cars. At the same exhibition, the first bus of the company was presented - PV60, with a diesel engine.
In 1951, Volvo moves to assembly line production. In the same year saw the release of the first family car Volvo Duete.
In the 1980s, the company began production of a new generation of cars. They featured modern design and more powerful engines, which were modified to reduce fuel consumption. The main model of the 80s was the 760 sedan, which was equipped with six-cylinder gasoline and diesel engines. Up to 100 km / h, it accelerated in 13 seconds.
Today, Volvo is owned by the Chinese concern Geely, which bought it from Ford in 2010 for $1.8 billion. However, Volvo's headquarters remained in Gothenburg.
TechnologiesVolvo
Throughout its history, Volvo has paid special attention to the development of safety technology.
This Swedish manufacturer was the first to equip its cars with three-point seat belts, triplex laminated windshields and lambda probes - sensors that help reduce exhaust toxicity.
In the 1970s, Volvo developed the world's first child protection system - an extra pillow and a special rear-facing child seat.
Much earlier than other companies, Volvo began to use its own innovative safety solutions on its cars, for example, City Safety, which prevents low-speed collisions.
Volvoin motorsport
Since 2007, the team has been taking part in the world championship in road racing among touring cars. The best achievement is 11th place in the overall standings in 2011.
From time to time, Volvo exhibits its cars at the famous Dakar Rally. In 1983, the team won the small truck class.
In addition, the Volvo concern participates in the European Truck Racing Championship. Renault-branded cars, which are produced at Volvo factories, won in 2010 and 2011.
Interesting Facts
Volvo is the first company in the world to set up its own dedicated accident investigation team. Based on the data from this unit, new security systems for Swedish cars are being developed.
Volvo P1800, assembled in 1966, got into the Guinness Book of Records as the car with the highest mileage. It amounted to 4,200,000 km.
King Carl Gustaf of Sweden travels on the roads in a small hatchback.
Volvoin Russia
The history of Volvo in Russia began in 1973, when the state-owned company Sovtransavto purchased Swedish trucks for international transportation. The representative office of the brand was opened in Russia in 1994. Especially popular in the 90s were the models and V40 KOMBI. In the 2000s, S-series sedans were running models in Russia. Swedish cars have become popular among Russian motorists due to their classic design, high quality and reliability. These factors even influenced the formation of such a concept among motorists as Volvo - the driver. This was the name of a motorist who was not in a hurry, observing the rules of the road, appreciating comfort and safety.
The machines were well suited for operation in difficult weather conditions of the country. In addition, their low cost in comparison with cars of competing brands ensured their success.
Today, a large selection of Volvo cars is presented on the Russian market: the C70 hardtop coupe, sedans and, V60 and V80 station wagons, as well as all-wheel drive crossovers XC60, XC70 and. Over the past six years, Russians have been buying about 20,000 Swedish cars a year. The most popular model is the XC90. Sales of this crossover account for about 30% of all models presented today.
The company has a small truck assembly plant in Zelenograd. In addition, in 2009, a Volvo Trucks plant was opened in the Kaluga region, which produces up to fifteen thousand trucks a year. Volvo does not plan to open factories for the production of passenger cars in Russia yet.
Volvo Cars has begun production of its best-selling XC60 at Volvo's Chengdu plant in China. The expansion of production in China was made possible by the continuous growth of sales.
The Volvo XC60 is the second model to be produced in China. Production of the first model in China, the long-wheelbase Volvo S60L sedan, began in November 2013.
The expansion of production in connection with the start of assembly of the XC60 at the Chengdu plant means the creation of an additional 500 jobs, bringing the total workforce to about 2,650 people. The new working time calculation system will allow reaching the required production volume.
The XC60 is Volvo's bestseller worldwide and in China.
In the first nine months of 2014, global XC60 sales increased by 20.4 percent to 98,309 vehicles. During the same period, sales in China increased by 32.3 percent with 24,940 vehicles sold. Earlier this year, cumulative production of the XC60, which hit the market in 2008, was 500,000 vehicles.
"Beginning of productionXC60 in Chengdu is one of the last milestones on the path of transformationVolvo Cars, - said Håkan Samuelsson (Hå kanSamuelsson), president and CEOVolvoCars. – This is very important to support overall growth.Volvoin the market, which is today the largest forVolvo".
The Chengdu factory is located in the economic and technological development zone in central China. The plant can produce 120,000 vehicles per year.
Volvo Cars also has a factory in northeast China's Daqing city where assembly of the Volvo XC Classic, a localized variant of the first generation Volvo XC90 designed specifically for the Chinese market, has begun.
In addition, a Volvo Cars engine plant has been operating since autumn 2013 in the city of Zhangjiakou, northwest of Beijing, and supplies its products to assembly plants in Chengdu and Daqing.
All the company's activities in China are carried out in full compliance with the global standards and processes of Volvo Cars, which operate at the Thorsland and Ghent plants in Europe.
"The factory in Chengdu is absolutely the same as our factories in Europe,- told Lars Danielson (LarsDanielson), Senior Vice PresidentVolvoCarsChinaOperationsand CEOVolvocarChina. – In terms of quality, technology and equipment used, working conditions, safety standards and environmental protection, our Chengdu plant fully complies with global standards and requirements.Volvo Cars".
This year, Volvo Cars is showing strong sales in China, with retail sales up 36 percent compared to 2013. Volvo Cars is well ahead of competitors in the premium segment in China, rapidly increasing its market share.
In addition to the XC60 and S60L, the V60 and V40 segment leaders show excellent sales figures in the Chinese market. Currently, Volvo cars are sold in more than 160 dealerships throughout China.
"Chinese consumers have no lower expectations than Europeans. They expect top quality products,- speaks Mr Danielson. – Buyers have a huge choice in the highly competitive Chinese market, so we guarantee high quality vehicles.Volvoproduced at our Chengdu plant, which are no different from the vehicles produced by our plants in Europe."
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Volvo Car Group V 2013
In fiscal year 2013 operating incomeVolvo Car Groupamounted to 1.919 million SEK (66 million SEK in 2012). The annual income for the said period amounted to 122.245 million S.K. (124 . 547 ), while net profit reached the level960 million s.c. (-542 million s.c.). Retail sales worldwide for the year reached427 . 840 (421 . 951) vehicles is an increase of 1.4 percent compared to 2012. We managed to increase profit from the main activity due to cost reduction and the implementation of strong sales, which indicates the successful implementation of the transformation planVolvo Car Group. According to the company's forecasts, financial results for 2014 will be positive, and sales will show another record and increase by 5 percent.
ABOUT Volvo Car Group
CompanyVolvo exists since 1927. TodayVolvois one of the most famous and respected automotive brands in the world.Volvo Carssells its vehicles in approximately 100 countries, sales in 2013 amounted to 427,000 vehicles. Since 2010Volvo Cars owned by a Chinese companyZhejiang Geely Holding (Geely Holding). Volvo Carsbelonged to the group of companiesSwedish Volvo Group (Sweden), and in 1999 it was acquired by an American companyFord Motor Company. In 2010Volvo Carsthe company boughtGeely holding.
As of December 2013 inVolvo Carsemployed more than 23,000 people worldwide. head officeVolvo Cars, product development, marketing and administrative functions are concentrated in Gothenburg (Sweden). head officeVolvo Carsin China is located in Shanghai (China). The company's main manufacturing plants are located in Gothenburg (Sweden), Ghent (Belgium) and Chengdu (China). Engines for carsVolvoproduced at the plant in Skövde (Sweden) andZhangjiakou(China).
Volvo means "I'm rolling" in Latin, and the circle of arrows is just a convenient symbol for steel, Sweden's biggest industry before iKEA. The circle and arrow symbolize the shield and spear of Mars, which are also alchemical symbols for iron. In 1924, in the Stockholm restaurant Sturehof on July 25 - the day that is called Jacob's Day in the Swedish calendar - Assar Gabrielsson and Gustaf Larson decided to create Volvo.
Volvo's birthday is April 14, 1927, the day the first car, called the Jakob, left the factory in Gothenburg. However, the real history of the development of the concern began a few years later. The 1920s are characterized by the beginning of the real development of the automotive industry simultaneously in the USA and Europe. In Sweden, they really became interested in cars in 1923 after an exhibition in Gothenburg. In the early 1920s, 12,000 cars were imported into the country. In 1925 their number reached 14.5 thousand. On the international market, manufacturers, in pursuit of increasing their volumes, were not always selective in their approach to components, so the quality of the final product often left much to be desired, and as a result, many of these manufacturers quickly went bankrupt. For the creators of Volvo, the issue of quality was fundamental. Therefore, their main task was to make the right choice among suppliers. In addition, tests were carried out after assembly. To this day, Volvo follows this principle. Let's find out the history of this brand in more detail...
1927 Volvo OV4 "The Jakob"
Creators of Volvo
Assar Gabrielsson and Gustaf Larson are the creators of Volvo. Assar Gabrielsson - son of Gabriel Gabrielsson, office manager, and Anna Larson - was born on August 13, 1891 in Kosberg, Skaraborg county. He graduated from the Higher Latin School Norra in Stockholm in 1909. He received a bachelor's degree in economics and business from the School of Economics in Stockholm in 1911. After working as an official and stenographer in the lower house of the Swedish Parliament, Gabrielsson got a job as a sales manager at SKF in 1916. He founded Volvo and served as president until 1956.
Gustaf Larson - the son of Lars Larson, a farmer, and Hilda Magnesson - was born on July 8, 1887 in Vintros, County of Erebro. In 1911 he graduated from the technical elementary school in Erebro; received an engineering degree from the Royal Institute of Technology in 1917. In England from 1913 to 1916 he worked as a design engineer for White and Popper Ltd. After graduating from the Royal Institute of Technology, Gustaf Larson worked for SKF as a manager and chief engineer of the company's transmission department in Gothenburg and Katrinholm from 1917 to 1920. He worked as a plant manager and later as technical director and executive vice president of Nya AB Gaico from 1920 to 1926. Collaborated with Assar Gabrielsson to create Volvo. From 1926 to 1952 - technical director and executive vice president of Volvo.
The history of Volvo began with crayfish
As the book "Volvo Cars" tells, the history of Volvo begins in June 1924, when Assar Gabrielson, the future managing director of the brand, accidentally met in a cafe with a former college classmate Gustav Larson, who would later become Volvo's technical director. That day in a cafe they talked for a short time, and Gabrielson proposed the idea of creating an enterprise for the production of cars. Gustav Larson agreed that they should have discussed this topic in more detail, but he considered the proposal itself hardly serious and did not attach much importance to it. Maybe this idea would not have developed if they had not met for the second time in August of that year.
Here is how Gustav Larson describes this meeting, recalling Assar Gabrielsson (the article was published in Volvo magazine after Gabrielsson's death in 1962): "I happened to pass by the Sture-hof restaurant. I saw an advertisement for fresh crayfish, and decided to go inside, where I saw Gabriel sitting alone in front of a whole mountain of red crayfish. I joined him, and we set about crayfish with great appetite." So they sat at the same table. Gabrielson had an excellent opportunity to re-discuss his idea. The verbal agreement that they reached in August 1924 took the form of a formalized document on December 16, 1925.
This document proclaimed the following: "I, Gabrielson, intending to create a car manufacturing company in Sweden, make an offer to G. Larson to cooperate with me as an engineer." "I, Larson, accept this offer." Gustav Larson had to develop a new car. The remuneration for this work would be from 5,000 to 20,000 SEK, provided that production reached an industrial level - at least 100 cars per year by January 1, 1928. If the target level of production was not reached, Larson agreed not to claim any payment. Drawings of the chassis of the new car were ready already six months before the signing of this agreement.
On April 14, 1927, the first mass-produced Volvo car was born - it was the year of the birth of the automotive industry in Sweden. On that day, the gates of the factory on the island of Hisingen, Gothenburg, opened wide. The first Volvo car drove out of the gate. It was an open-top chaise with a four-cylinder engine. Sales manager Hilmer Johansson was driving.
When designing it, the designer Mass-Olle (Mass-Olle) was guided by American methods. The car was equipped with a 1.9-liter 4-cylinder engine with side valves. Under the designation "OV-4" it was offered with an open body, the "PV-4" variant was a sedan.
The short drive to where the press was waiting for the car was uneventful. But the night before was not an easy one for those in charge of assembling the car. The last parts needed for assembly had arrived by train from Stockholm the previous evening. The haste that accompanied the assembly of the car made itself felt: when engineer Eric Carlberg decided to inspect and check the car in the morning, it turned out that he could only move backwards. The main component in the rear axle gearbox was installed incorrectly. Such a beginning was taken as a good omen: from now on, the movement should have been only in the forward direction.
The car was called simply and uncomplicated - OV4 and had an affectionate nickname Jacob (Jacob). The letters OV denoted that the model was an open-top car, and the number 4 denoted the number of engine cylinders. The Volvo Jacob was American designed, with a powerful chassis and independent suspension with long leaf springs front and rear. The engine developed a power of 28 hp. at 2000 rpm. The maximum speed of the car was quite decent for that time - 90 km / h.
At first, Swedish buyers were not eager to snap up new cars.
The four-hole car body was painted in dark blue, and black mudguards stood out against this background. Jacob's open 5-seater body had four doors and was constructed from sheet steel on an ash and copper beech frame. The upholstery was leather, the front panel was wood. Unlike the seats in many other cars, the seats of the first Volvo were sprung. The structure of the wheel of this car was a removable rim, which was mounted on varnished wooden spokes. Minor luxuries in the cabin included a small flower vase, an ashtray and (in the sedan version) curtains on all windows.
A new car with a phaeton body cost 4800 kroons, and a little later the PV4 sedan was introduced, and another 1000 kroons were added to its price. According to plans, the plant should produce 500 cars of each model, however, contrary to expectations, Swedish buyers did not seek to buy up new cars. In the first year, only 297 cars were sold. One of the reasons for such a small quantity was the requirement for a very high level of quality of the supplied components and its strict control by the manufacturer.
The top speed of the PV4 was quite decent - 90 km/h
A year later, a new model is introduced - this is the Volvo Special, an extended version of the PV4 sedan. The Volvo Special featured a longer hood, thin A-pillars and a rectangular rear window. This car was already equipped with bumpers. At this time, bumpers had not yet become standard equipment on the car.
It wasn't until two years later that the company was able to make its first modest profits. In 1929, Volvo sold 1,383 cars. However, in the late 1920s the car made a real breakthrough, both in the European market and in America.
During several years at SKF, Assar Gabrielsson noted that Swedish ball bearings were inexpensive compared to international standard prices, and the idea of creating a production of Swedish cars that would be able to compete with American cars became stronger and stronger. Assar Gabrielsson worked with Gustaf Larson for several years at SKF and the two men, having also worked together for several years in the British automotive industry, learned to recognize and respect each other's experience and know-how.
Gustaf Larson also had plans to create his own, Swedish automotive industry. Their similar views and tasks led to cooperation after the first few chance meetings in 1924. As a result, they decided to found a Swedish car company. While Gustaf Larson was hiring young mechanics to assemble cars, Assar Gabrielsson was exploring the economics of their vision. In the summer of 1925, Assar Gabrielsson was forced to use his own savings to fund a trial run of 10 passenger cars.
The cars were assembled at the Galco's Stockholm plant with the involvement of the interests of SKF, whose equity stake in Volvo was 200,000 SEK. SKF also made Volvo a controlled, but capable of growing, car company.
All work was moved to Gothenburg and neighboring Hisingen, and SKF equipment was eventually moved to Volvo's production site. Assar Gabrielsson singled out 4 basic criteria that contribute to the successful development of the Swedish automobile company: Sweden was a developed industrial country; low wages in Sweden; Swedish steel had a strong reputation all over the world; there was a clear need for passenger cars on Swedish roads.
Gabrielsson and Larson's decision to start producing passenger cars in Sweden was clearly articulated and based on several business concepts:
- Manufacture of Volvo cars. Volvo will be responsible for both machine design and assembly, while materials and components will be sourced from other companies;
- Strategically secure key subcontractors. Volvo must find reliable support and, if necessary, partners in the rail sector;
- Focus on exports. Export sales began a year after the start of assembly line production;
- Attention to quality.
Neither effort nor expense can be spared in the process of building a car. It's cheaper to get things going in the right direction at the beginning of the journey than it is to make mistakes and fix them at the end. This is one of the main postulates of Assar Gabrielsson. If Assar Gabrielsson was shrewd in business, then the brilliant financier and merchant Gustaf Larson was a mechanical genius. Together, Gabrielsson and Larson controlled Volvo's two main business areas, economics and engineering. The efforts of two people were based on determination and discipline - two qualities that were often the key to the success of business in industry during the first half of the 20th century. It was their common approach that laid the foundation for Volvo's first and most important value - quality.
Volvo name
SKF was a serious guarantor of the production of the first thousand cars: 500 convertibles and 500 hardtops. Since one of the main activities of SKF was the production of bearings, the name Volvo was proposed for cars, which means “I roll” in Latin. Thus, 1927 was the birth year of Volvo.
To characterize your child, a symbol was needed. They chose steel and Swedish heavy industry, since cars started being made from Swedish steel. The "Symbol of Iron" or "Symbol of Mars" as it was called after the Roman god of war was placed in the center of the grille on the first Volvo passenger car and later on all Volvo trucks. The "Sign of Mars" was tightly attached to the radiator by the simplest method: a steel rim was attached diagonally across the radiator grille. As a result, the diagonal stripe has become a trusted and well-known symbol of Volvo and its products, in fact one of the strongest brands in the automotive industry.
When the Volvo P1800 sports car turned 50 years old, the Swedish automaker decided to “modernize” the car. True, only on paper - no one is going to launch into mass production an upgraded version of the model, drawn by Volvo's chief designer Christopher Benjamin.
At the same time, some experts note that such a car could well find its buyer. The key to commercial success would be the glory of the original P1800 sports car, which was considered the most attractive Volvo in the history of the Swedish brand. The appearance of the Volvo P1800 coupe in 1957 was created by designer Pelle Pettersson, who at that time worked in the Italian studio Pietro Frua. At first, the Swedes were going to launch the production of this model at the German company Karmann, which belonged to the Volkswagen concern, but the disagreements that arose during the negotiations led to the need to find another partner. As a result, serial production of the car was started only in 1961, while cars were assembled in the UK, at the Jensen factory.
The first Volvo P1800s were equipped with a 100-horsepower gasoline engine, but in 1966 it was replaced by a 115-horsepower unit. In addition to the coupe, the car could be ordered in cabriolet and station wagon bodies. The total circulation of P1800 for 13 years amounted to 37.5 thousand copies.
In parallel, Volvo begins to produce its first trucks, which were based on the same Jacob.
So, since the 30s of the twentieth century, Volvo has been introducing new introductions to mechanical engineering. A new six-cylinder engine was invented, tested and put into production, brake pads were installed on all 4 wheels, interior soundproofing, a silencer was installed, a radiator grill appeared - and after all these innovations, the car's power does not drop in any way! No wonder the company weathers the global economic crisis. Before the Second World War, Volvo pleases its customers with an aerodynamic body.
The 40s passed under the sign of the World War. But Volvo does not lose ground, but on the contrary, it stays afloat, invents new innovations. After surviving the war and having completed the production of car modifications for military needs, Volvo returns to the production of civilian cars. Model PV444, after all the modifications, conquers the market. The company is increasing production and, consequently, the export of cars.
In the 50s, Volvo put a lot of emphasis on safety. Improved brakes, seat belts. A special committee is set up to study various accidents.
In the 60s - 70s. the company enters into agreements with DAF and Renault, which increases the performance and power of cars. New modifications and models are released - Amazone, models 240 and 345. In the 80s, car production per year reaches 400,000! We should not forget that the company continues to care about safety, as evidenced by the numerous awards for modifying the seat belt - the world's first three-point belt that improves safety by 50%.
The 90s again bring success to the company. Relations have been established with the French company Renault in the field of production of cars, trucks and buses; a lucrative agreement was signed with Mitsubishi and the Dutch government to create a new brand. But the main fact of this decade is the release of the 960, which was equipped with an automatic transmission. The new car was modified with the help of Japanese colleagues from Mitsubishi - a nice design appeared.
At the moment, the Volvo brand is a safety brand. Popular models such as S40, S60, S80, V70, XC70, XC90 drive through the streets. Cars are chosen for comfort, safety and reliability. Every year, the brand pleases with novelties and innovations, both in the field of safety and in the field of reliability of car robots. And besides this, Volvo produces reliable engines for boats and ships.
And now let's look at the history of Volvo in chronological order:
1924 - the idea of creating the first machine-building plant in Sweden.
1927 - after three years of preparation, the first car of the Volvo brand - OV4 "Jakob" is released into the world, 300 cars were assembled.
1937 - release of new similar models - PV51 and PV52, 1800 cars were produced.
1940s - modernization of cars for military needs, then a strike of workers, a lack of materials. Design and assembly of PV444, an average of 3000 cars are produced per year.
1953 - release of a new family-type car - Volvo Duett.
1954 - an unprecedented step of the company - a guarantee is issued for a car for as much as 5 years! The first Volvo sports car is produced, which never became fashionable.
1956 - Amazon brand launched.
1958 - Volvo exports reach 100,000.
1959 - an event occurred that later made Volvo considered the safest car - the three-point seat belt was invented.
1960-1966 - new cars Volvo 1800 and Volvo P 144 are presented, which were rightfully considered the safest cars in the world.
1967 - the child seat was modernized, now it can be placed against the movement.
1974 - the Volvo 240 model was released, which included all types of safety that existed at that time.
1976-1982 - the company produces Volvo 343 and Volvo 760, which conquer the market, Volvo is famous all over the world.
1985 - The first front-wheel drive car appears - the Volvo 480 ES sports car.
1990-1991 - developed and installed on the Volvo 850 side impact protection. The production of the Volvo 960 model was launched, which had a 6-cylinder engine and a power of 240 hp.
1995 - the release of the famous cars Volvo S40 and V40.
1996 - Now Volvo pleases its customers with the beautiful Volvo C70.
1998 - The release of the Volvo S80 is not only a comfortable car, but also one of the safest cars in the world, thanks to whiplash protection.
1999 - Volvo buys out Ford, which still owns it to this day.
2000 - such "giants" of the car market as the Volvo V70 and Volvo S60 are released. Volvo is recognized as the safest car in the world.
2002 - A year of great changes in Volvo products. The first SUV XC90 was announced, the restyling of the s40, s80 models was carried out. Volvo has already taken a firm step into the super-powered car market with the S60R and V70R. The company's design studio has been developing its own SUV for some time now. All leading European manufacturers, even Posrsche, have prepared or started producing their parquet "jeeps". And finally, in August 2002, mass production of the XC90 model was launched.
2003 - At the Geneva Motor Show, Volvo showcased its next concept car from the "Volvo Designers' Vision for the Cars of the Future" series. Concept car VCC (Versability Concept Car - "Adaptive Concept Car"). The model range of the Swedish company Volvo has replenished with another all-wheel drive car - after the Volvo S60 and V70, the company's flagship, the Volvo S80 sedan, also received all-wheel drive. This car uses a system similar to that of the Volvo S60.
2004 - The appearance of the long-awaited new products of the Swedish company: cars Volvo S40 and Volvo V50. The new Volvo S40 is 50 mm shorter than its predecessor, but despite this, Volvo offers the features and qualities of larger Volvo models.
The first production Volvo rolled off the Gothenburg factory in 1927. Since then, Volvo Car Group has been a world leader in innovative and safe vehicles. Today Volvo is one of the most well-known and respected automotive brands, the company's sales market includes about 100 countries.
Volvo Cars was part of the Swedish Volvo Group until 1999, when it was acquired by the American concern Ford Motor Company. In 2010, Volvo Cars was bought out Chinese concern Zhejiang Geely Holding (Geely Holding). The new owner contributed to a radical renewal of the Volvo model range, a significant increase in the company's production capacity and strengthening the position of the Swedish automaker in the global market.
The Volvo brand is owned by Volvo Trademark Holding AB, jointly owned by Volvo Cars and the Volvo Group.
The corporate and brand development strategy - Designed Around You - is focused on the needs of people and underlies the production and business activities of the company, as well as the basis of its corporate culture.
About 2,300 dealers (most of them independent companies) sell Volvo cars in about 100 countries. As of December 2018, Volvo Cars employed around 43,000 people worldwide.
Volvo Cars produces premium vehicles of various types: sedans (S60, S90), station wagons (V40, V60, V90), off-road vehicles (V60 Cross Country, V90 Cross Country) and crossovers (XC40, XC60, XC90).
In 2018, Volvo Cars sold 642,253 vehicles. This year was the company's fifth consecutive year of record sales. The largest sales market is China, accounting for 20% of total sales in 2018. It is followed by the US (15%), Sweden (10%), the UK (8%) and Germany (7%).
For the 2018 financial year, Volvo Car Group posted an operating profit of SEK 14,185 million (2017: 14,061 million). Revenue for the reporting period was SEK 252,653 million (208,646 million).
Volvo Cars is headquartered in Gothenburg, Sweden, where resources are concentrated for product development, marketing planning and administration of the company's current processes. Since 2011, Volvo Cars has had offices in Shanghai and Chengdu, China. The headquarters of the Chinese division of the company in Shanghai is engaged in sales, marketing, purchasing, development and other support functions. There is a technology center on its territory.
In addition to the main factories in Gothenburg (Sweden) and Ghent (Belgium), engines for Volvo Cars have been produced since the 1930s by a factory in Skövde (Sweden). The production of components for the body since 1969 has been established at the plant in Olofström (Sweden). In addition, the company's assembly plants operate in Kuala Lumpur (Malaysia) and Bangalore (India), and in Shanghai, Stockholm and Lund (Sweden) and Silicon Valley (USA) have research and development centers. Finally, Volvo Cars has design centers in Gothenburg, Camarillo (USA) and Shanghai.
In 2013, mass production was launched at the plant in Chengdu - Volvo cars are produced here for the Chinese and American markets. In 2014, a second plant in China, in Daqing, began operation, and car engines are also produced at a plant in Zhangjiakou (China). Also, the production of Volvo cars is carried out at a plant in the city of Luqiao (China). In June 2018, the opening of a new Volvo Cars plant in South Carolina (USA) took place.
The Volvo concern, which has proven itself as a manufacturer of high-quality and reliable equipment, is one of the most influential representatives in Europe, in particular in the premium car segment. It has several factories specializing in the production of different cars. Model XC90 for Russia is assembled in Sweden and Belgium. Chinese-assembled cars are sold in the Asian market.
In the period from 2000 to 2007, the Swedish brand practically did not develop, offering customers old models with a limited list of engines. The following year was a defining year for the company and served as the starting point for its further successful development. This is due to the conclusion of an alliance with the Chinese Geely. In fact, the Chinese bought the Swedish company, but the agreement still looks like a merger.
The Chinese manufacturer has committed itself not to change the name of the Volvo brand, to leave Sweden as the country of manufacture, and also not to use the developments of the Swedes for Gelly models.
In which countries are Volvo cars assembled?
There is a misconception that Volvo cars are assembled in Norway, Switzerland and even Germany. In fact, the main European production facilities of the brand are concentrated in the Swedish city of Torslanda, as well as the Belgian Ghent.
Until 2013, an enterprise in Uddevalla operated in Sweden, where the C70 model was produced. There are no other Volvo assembly plants in Europe. In China, the assembly of Swedish cars is organized at a factory in Chengdu.
After the merger with the Chinese Geely, production in Gothenburg did not decrease, but even increased. This was facilitated by significant Chinese investment.
Merging benefits:
- Serious investments made it possible to develop new cars, technologies and expand the brand's lineup.
- Allowed to exchange experience with designers from Geely.
- The Chinese market opened up for Volvo, where its products were exempted from duties.
- The staff of the enterprise has expanded, production lines have been updated and automated.
Second generation Volvo XC90
Initially, the company planned to release the new XC90 in 2009-2010, but due to the merger with Geely, the deadline was postponed.
The world debut of the model took place in 2014, and the serial production at the plant in Gothenburg. The first cars arrived to their customers in the spring of 2015. For the birthday of the brand, the Swedes released a special version called First Edition with a run of 1927 units.
The cars sold out in 47 hours.
In 2016, the model was awarded the North American SUV award. The winner is determined by a commission of independent journalists. A similar success experienced the previous version of the car in 2003. In addition, the crossover scored best in its class according to Euro Ncap.
