Volvo Cars is restructuring its business in China and the wider Asia–Pacific region in an effort to adapt to slowing sales and growing competition from domestic manufacturers.
The Swedish carmaker, which is owned by China’s Geely, saw an 8 percent drop in sales in China during the first seven months of 2025. Globally, deliveries fell by 10 percent in the same period. The company is now giving local management more authority to respond quickly to Chinese consumer needs.
From 1 September, Zhu Ling has been appointed head of Volvo’s Asia–Pacific operations. He previously served as vice president at Zeekr, a premium electric vehicle brand under Geely that is now preparing for privatisation. Volvo hopes his appointment will help strengthen its market focus in the region.
As part of a broader cost-saving strategy, Volvo has launched an efficiency programme worth SEK 18 billion (USD 1.9 billion). The plan includes a global workforce reduction of about 7 percent, equal to 3,000 jobs. In China, the cuts have mainly targeted the company’s research and development centre in Shanghai.
At the same time, Geely is consolidating its automotive operations. Plans are underway to merge Zeekr and Lynk & Co under Geely Automobile Holdings, in order to simplify the group’s structure and improve competitiveness. Analysts say the changes reflect the challenges faced by international brands as Chinese manufacturers such as BYD expand rapidly in the electric vehicle market.
For Volvo, the reorganisation marks a strategic shift to strengthen its presence in Asia, where the carmaker still sees long-term growth potential despite current market pressures.
Source: The Edge Malaysia
Volvo became Chinese, the electric cars are full of bugs, unsafe, and have poor assistance. Congratulations, China, you succeeded in destroying Volvo after sucking all its technology.