After bailout talks with the Swedish government broke down, Volvo Cars has turned to the Belgian government for its help in securing a loan from the European Investment Bank (EIB). The best-known Swedish carmaker may be owned by the American company Ford, but it had hoped to win loan guarantees from Stockholm for the EUR 200 million the EIB is prepared to give it.
When the Swedish authorities backed out of negotiations, Volvo turned to Belgium since it has a factory in the city of Ghent. Volvo’s CEO, Stephen Odell, told the Swedish business daily Dagens Industri that his company will now ask the Belgian government to support their loan application to the EIB.
In a subtle jab at the Swedish government, Odell suggested that new models of Volvo cars could end up being built in the country that backs his loan application. “It is clear that a loan guarantee from Belgium could affect our future decisions on the location of production and product development,” he stated.
The EIB has allocated Volvo EUR 200 million of a total bailout fund of EUR 3 billion to help European carmakers. But Volvo can’t get the money unless it can find a government backer to guarantee the loan.
Although Odell emphasised that Volvo’s DNA is unquestionably Swedish, he added, “The opportunities in Belgium are greater in the short term. They also have a more flexible system that increases capacity to retain more employees.”
Jorge from SPAIN; too bad I can’t check IP-numbers, to verify it :(
Lots of good things are made in China, just not cars
the Chinese are trying to do the same as Japan did some time ago, copy and produce cheaper,
the difference is that the Japanese copied good products, improved them and made them better than the original, Japan has a history of making quality steel, China is far behind in that area,
China is probably focusing on the domestic market, that way they build up knowledge and experience and save expensive crash test dummy’s, no one is going to complaint.
this is a Japanese bike
and a Chinese one
Sorry sir, but I am not this: CHINA POWER aka. ASIA POWER aka. SIR EURO aka. GUS
Jorge from SPAIN aka. CHINA POWER aka. ASIA POWER aka. SIR EURO aka. GUS
What do you mean by “China imports quality and export toxic things, falsifications and illegalities”
My iPhone is made at Foxconn in China, and it is the real deal.
China will produce what you pay for, you can get top quality but it will cost.
“”DO NOT FORGET THAT CHINA NOW IS THE BIGGEST CARS IMPORTER OF THE UNIVERSE””
“Fourth, why would China import many cars if theirs were so good?”
China imports quality and export toxic things, falsifications and illegalities: sweepings!
Um, you make no sense on so many levels.
The Swedish government has no obligation to bail out (at great cost) a private company – even if it’s a Swedish staple. It’s called economics, look it up. Same goes for the US automakers.
Second, if you’ve seen Axel’s videos, you will have to admit EU and US cars are way safer than Chinese cars (to the point I’m not sure the chinese cars shown can even be sold in the EU).
Third, it doesn’t matter where the cars are assembled; materials may be better, engineering may be better – the end result is that the cars are safer.
Fourth, why would China import many cars if theirs were so good?
“SWEDEN IS THE FOUNDER OF VOLVO” aww man!! Here i’ve been walking around thinking it was founded by SKF in 1927, seems like I was wrong all that time. And in case you wonder “SKF” is spelled with all-caps.
Why do you care what the Swedes do regarding Volvo? They aren’t a communist country so are free to bail out or not. Unless of course you are worried that they will fail and no longer be available for import into the “biggest car importer in the universe”. funny stuff.
I think I’ll ignore your lame arguments from now on just like your predecessor’s.
WRITE THE FACT DO NOT CENSOR MY STORY. IF VOLVO IS A GREAT CAR WHY DOES THE SWEDISH GOVERNMENT OR FORD MOTORS DUMP THEM TO ITS FATE IN HISTORY SWEDEN IS THE FOUNDER OF VOLVO IF THEY THINK THEIR CARS IS SO STRONG BAIL THEM OUT FACE THE FACT MANY PARTS OF VOLVO IS ASSEMBLE FROM THIRD WORLD COUNTRIES AND THEY CHARGE A HIGH PRICE ITS A GIMMICK THAT DOES NOT WORK DO NOT FORGET THAT CHINA NOW IS THE BIGGEST CARS IMPORTER OF THE UNIVERSE
MOVE BACK TO SPAIN said:
CHINA POWER current GUS.
YOU ARE WRONG, I AM NOT CHINA POWER. I THINK THAT SOME CARS MADE IN THE COUNTRIES CHINAPOWER MENTIONS, SPECIALLY ELECTRIC ONES, ARE JUST GREAT.
BUT NOT TOO MANY CARS COMPARABLE WITH THE QUALITY OF A VOLVO. VOLVOS ARE VERY SAFE CARS AND LAST FOR A LONG TIME. MY AUNT HAS HAD TWO DURING HIS WHOLE LIFE, AND IS PROBABLY GOING FOR THE 3RD.
I WANT TO BUY A VOLVO MYSELF. PROBABLY A USED ONE HERE IN ICELAND.
I DON´T LIKE ASIAN CARS IN GENERAL, SPECIALLY KOREAN OR CHINESE, BECAUSE IF YOU HAVE AN ACCIDENT THEY WRAP LIKE ALUMINIUM PAPER AND YOU GET TRAPPED IN THEM, THEN THOSE CARS ARE ALL ABOUT PLASTIC STUFF. A VOLVO IS A SOLID CAR.
Hours ago, I did write a message with my answer to the offensive message that China Power has written here, respect to Spain and the Spaniards, insulting to 45 million men and women. I mean that this message has been censured.
Axel, where is my message?
So I am disappointed, and, I do request to Axel to expose my early post here: never, I repeat, never, a message had been censured. Perhaps this changes a little my point of view of this mass media.
I have been victim, attacked and insulted and, nevertheless, my message, my answer has been censured: mediator has allowed – and allows – that the fighter drops missiles, constantly, and the average answer of the victim has been censured. I am disappointed and I would request that my answer is being posted.
“Dear Jorge, you are not aware of things have changed during last years in Brazil and China. Major car makers [not Brazilian/Chinese owned] provide an optimal work condition into their local factories: average income is rather good compared to national standard.”
Yes … and ???
“e.g. if a Chinese worker gains between 1,200-1,500 RMB/month, he would have a BETTER purchasing power than his European counterpart.”
Yes, … perhaps, … and ???
“I mean: you should avoid cars from companies which couldn’t provide a good life condition depending upon those are made but aside political matters.”
NEVER; aside political matters ???????? NEVER !!!
“Volkswagen has stuff in Brazil as well, oh, but that’s SEAT owner! ;)”
And?? Yes, Brazil is not China. And??? … you did understand nothing, Densou.
NEVER. I will never buy a chinese car!!
Dear Jorge, you are not aware of things have changed during last years in Brazil and China. Major car makers [not Brazilian/Chinese owned] provide an optimal work condition into their local factories: average income is rather good compared to national standard.
e.g. if a Chinese worker gains between 1,200-1,500 RMB/month, he would have a BETTER purchasing power than his European counterpart.
I mean: you should avoid cars from companies which couldn’t provide a good life condition depending upon those are made but aside political matters.
Across Europe, I’d strongly recommend to boicott FIAT [it has several big facilities in Brazil but mostly don’t serve European retail chains]
Volkswagen has stuff in Brazil as well, oh, but that’s SEAT owner! ;)
But can I say that Volvos are fine cars that are well suited for the harsh environments of the world? Worth saving if that is the way back from the economic brink.
No further “Viking versus China” comments will be approved on this article!
@China Power from dreamland. You are full of it and I suspect a total fraud. Just like the substandard products from that miserable country. Not worth a tit for tat listing of crimes and history lessons.
Bottom line, most of us don’t want and will never buy cars from there. Come back in 30 years when they figure out how to build them.
TO JORGE FROM SPAIN,
You spaniards makes terrible decision to destroy the ancient civilisation of your former colonoies in South America so you must be jealous that China power is going to take over the world go back to your siesta mentality of all play and drink with no work what a shame that spain try to throw out the immigrants when the economy goes bad also your economy is so terrible just ask china for help or you immigrate to your country colony of philippines that your ancestors help to loot the country of treasures and import slave to the new world what a shame on the human race
I would never buy cars from those countries – CHINA, KOREA, MEXICO, BRAZIL, INDIA – and, of course, I would buy a Volvo.
China: First, it is a dictatorship – terrible, inhuman, squalid, … -; secondly, it has based its prosperity on the collapse of the others: they copy everything and, they destroy all the industry of any country. In my country, they are destroying footwear, ceramics, dress, … everything what is on its way. Prosperity of a country can not be based on copying, stealing or counterfeiting what others do. World – main countries – has been governed by stupid and ambitious men: they have left the monster live too much; now, it is impossible to stop the monster. How many Dollars and Euros do China have?!!!! Now, we know that they can not sell those Euro and dollars: they would destroy America and Europe but, they would destroy themself. Chinese finance minister did talk about a worldwide currency, … and no more dollars.
To buy Chinese cars? Please, first cut my hands!!!! HAHAHAHA cars from China … HAHAHAHA
@china – you have no idea what you’re talking about. must be a troll because even the Chinese know that their products are at best poor copies of useless junk or at worst, toxic waste. back to the dollar store with you I say.
To CHINA POWER aka Sir Euro aka GUS, you are a troll. this is icenews you get a job instead of living off icelandic welfare.
Your viking volvo is history where in the world do you see them its out of fashion CHINA products rule the world the world does not need your viking mentality Norway seels arms to third world countries in the name of peace Sweden sex tours to Thailand, Denmark treat Greenlanders second class citizen, Finland alcohol suicide problem, Iceland is at the mercy of IMF. Vikingson what is there to be proud of your Nordic cars lAUGHING STOCK.
huh? They are only doing what most auto manfs are doing these days. It isn’t unusual news.
What would be news to me is the day that Chinese cars make it to market in a significant way. I have two rules, no Chinese products go in my body or on my car. Ever. Stick to the dollar store crap, talk about “quality”…
Look at this
suv inside view
this is Volvo
quality cars, we should buy Volvo and build it here in Iceland.
CHINA POWER current GUS.
Volvo is history the world does not need them if they are so good why SWEDEN refused to bail them out after all the car is originally from SWEDEN. Something must be rotten going on you can buy much better cars from CHINA,KOREA,MEXICO,BRAZIL,INDIA,JAPAN.
Your viking mentality built cars is history go to bankruptcy time has catch up with your shoody work ethnic high paid wages little work time has changed or nations has built equally good cars at less expensive