Although General Motors has been fairly candid about the future of its Hummer brand, Ford continues to maintain that its Mercury and Volvo divisions are here to stay, even in the face of mounting evidence to the contrary. Ford’s suppliers have already hinted that the Mercury brand is on life support and a new report indicates that Volvo might already have one foot out the door.
According to Automotive News, Ford is currently in talks with China’s Shanghai Automotive Industry Corp. to sell off the Volvo brand. Additionally, Dagens Industri reports that Ford is also in talks with a Russian investor who wishes to acquire the Volvo brand.
Although Volvo has been under “strategic review” for the past year, a Ford spokesperson told Automotive News: “We have been consistently saying since the end of last year that Volvo is not for sale. We are focused on improving Volvo’s business results.”
Despite Ford’s denial of a Volvo sale, the writing could already be written on the wall for the Swedish automaker. Volvo announced 2,000 job cuts today and, with Ford’s North American operations further in the muck than originally planned, Ford may not be able to hold out on a Volvo sale until conditions improve.
06/25, 10:45 AM
posted by:
inspire
With the value of the Euro compared to the US$ … I can’t blame Ford for selling this make. After all, where do most of Volvo sales come from (I should rephrase, where do most car sales come from?) and look at how weak that economy will be for the foreseeable future?
I like where Volvo is heading right now. I mean their ’safety first, looks second’ motto is evolving to ’safety and looks are equally important’ quite nicely. Look at the C30 and the S40 / S60 … nice cars. And they still make reliable wagons (don’t understand why North America hasn’t warmed up to that, now that US$4/gallon or C$5/gallon is commonplace).
I think someone / some company has to redefine the image so it can break through to a more desirable / coveted brand. Somehow Ford has done a great job at tarnishing the makes it acquired (see Jaguar). I don’t see how a European company hasn’t approached Ford for Volvo (re: BMW, Daimler, Porsche?)
06/25, 11:18 AM
posted by:
johnnycanuck
I wonder if the appearance of Kerkorian has lit the fire under Ford’s proverbial arse to sh*t or get off the pot. At least Volvo is worth something. What the hell are you going to do with Mercury other than warehouse a few grills and tail light assemblies?
06/25, 12:52 PM
posted by:
howsmydriving
Sell Volvo, sell, sell.
06/25, 12:57 PM
posted by:
bigp
do not sell and do not sell keep volvo they make some the best cars in the world and have customers that will not drive anything but an vovlo … please dont sell
06/25, 1:11 PM
posted by:
brassmonkey
Land Rover/Jaguar to Tata. Volvo to Shanghai. Maybe they could sell Mercury to Renault. Or even better, sell Merc to GM. The fire sale at Ford’s Premier Auto Group has me laughing a little. It is a great example of ‘too big, too fast’. Just like A4’s mom’s ass.
06/25, 3:48 PM
posted by:
global_lightning
Sell Volvo to BMW. The Germans can focus on RWD sports cars will Volvo can take the upscale FWD family movers. Keep Mini for the kids. Perfect.
06/25, 6:11 PM
posted by:
Madcapp
Volvo would not be a liability if management were not bent on making boring ass cars. And cheap ass interiors too, been in a Volvo lately? Cheap ass crap!
06/25, 9:11 PM
posted by:
global_lightning
Hmmm, I was in my Volvo 8 minutes ago so that counts as ‘lately’. Nice comfy and fragrantly leather seats; not a bad place to be…
The only real gripe I have about the interior is some of the controls are quirky. The radio makes no sense at all and the AC seems to do everything except what you want it to do!
06/25, 9:47 PM
posted by:
johnnycanuck
global: perhaps it thinks it’s also DC? Try talking dirty to it.
06/26, 6:54 AM
posted by:
JohnnyBlazE
Yeah do some Dirty Deeds… Dirt Cheap.
06/26, 12:18 PM
posted by:
JoshyLofty
IF volvo is sold, it needs to be to a company that has cred. not some chinese car that crumples into a wall @ 35MPH. Thats pretty much the opposite of what volvo is.