Geely plans to build premium models at Volvo's European factories
Geely Automobile plans to begin producing higher-end models from its brand portfolio at Volvo Cars' European factories from 2028. The company has not yet disclosed which brands or models will be involved, or which plants will be used.
Geely Auto's newly appointed chairman, An Conghui, said during the company's first-half results briefing that Volvo's European factories would become an important part of Geely's localisation strategy. Production of higher-end Geely Auto models at Volvo plants is expected to begin in 2028.
Geely Auto's portfolio comprises the Geely brand, including its Galaxy range, as well as Zeekr and Lynk & Co. Zeekr is positioned firmly in the premium segment, while Lynk & Co also sits above Geely's mainstream models. The company has not confirmed which brand will be the first to use a Volvo production line.
Volvo is opening its factories to other brands
Volvo Cars currently builds vehicles in Europe at Torslanda in Sweden and Ghent in Belgium. A third European plant is under construction near Košice in Slovakia, where large-scale production is expected to begin in early 2027.
Polestar has also signed a memorandum of understanding with Volvo Cars for the electric Polestar 7 to be manufactured at Košice ahead of the model's planned 2028 launch. In Ghent, Volvo has already raised the possibility of using spare capacity for contract assembly of vehicles from other brands.
For Geely, using Volvo's existing manufacturing network offers a way to expand European production without having to rely entirely on new factories. It also creates greater scope for sharing architectures, components and manufacturing technology across the wider group.
Local production is becoming increasingly important in Europe
Building cars in Europe would reduce Geely's reliance on vehicles imported from China. That is particularly relevant for battery-electric models, as the European Union applies additional countervailing duties to BEVs produced in China.
Geely's broader international strategy increasingly favours partnerships and the use of existing manufacturing capacity where practical. The company is also pushing to increase sales outside China, with Europe becoming an increasingly important part of its global expansion.
The planned use of Volvo factories is another sign of closer industrial cooperation across the wider Geely group. Volvo, Polestar, Zeekr and Lynk & Co remain distinct brands, but the architectures, components and production networks behind their vehicles are increasingly likely to overlap.
