BEIJING -- Ford Motor Co. will start assembling the Volvo S40 mid-sized sedan in China during the last week of April, supplier sources say.
The car will be the first Volvo model assembled in China. The projected volume for this year is about 8,000 units, says a supplier.
The car will be assembled at a plant that belongs to Changan Ford Automobile Co., a 50-50 joint venture with Changan Automotive Group. The plant also assembles the Ford Focus and the Mazda3 cars, which share a platform with the Volvo S40.
Ford (China) spokesman Kenneth Hsu said: "We do not comment on future products."
But Lewis Booth, chairman of Ford Europe, told Automotive News Europe at the Geneva auto show this month that some parts of the S40 already have been shipped to China. He gave no details.
Automotive News Europe, like Automotive News, is published by Crain Communications Inc.
Suppliers say the cockpit will be imported, but the powertrain largely will be sourced locally.
The S40 will face stiff competition from other locally assembled models such as the BMW 3 series, the Audi A4 and the Mercedes C class, says Ashvin Chotai, director of Asian automotive industry research at Global Insight in London.
Says Chotai: "We think it is becoming quite a cutthroat segment."
Source : Auto News