AutoNews - Volvo to build cars in China

Sweden-based Volvo Cars would start production of Volvo cars in China by the end of 2006 or early 2007 as it intends to increase sales volume in the world's fastest growing automobile market. Volvo would produce S40 and S60 saloons through Ford's joint venture manufacturing plant, Changan Ford. As premium continental carmakers Audi, BMW and Mercedes-Benz have already started production in China, Volvo have jumped into the fray.

Premium automobile sales are expected to post an annual growth of 10-12% between 2006-2008. DaimlerChrysler's ultra luxurious Maybach and the venerable Rolls Royce have found several buyers last year as China's economy continues to increase at a rate of 9%.