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Daimler and Volvo could jointly develop internal combustion engines

BERLIN — Luxury German carmaker Daimler and Volvo, owned by China's Geely, are considering cooperating to cut the costs of developing combustion engines, a magazine reported on Sunday, citing unnamed company sources. The Automobilwoche weekly cited a Volvo manager as saying there were initial talks with Daimler, but no concrete plans, while a company spokesman said it was too early to talk about firm projects, although it was not excluding anybody. A Daimler spokesman said the company's cooperation with Geely, which owns a 10% stake in the German carmaker, was developing in a positive way, but declined to comment further. Global tariffs, accelerated by a trade war between China and the United States, as well as higher investment requirements for electric and autonomous vehicles, are forcing carmakers to seek new ways to cut and share costs. In October, Volvo said it would merge its engine development and manufacturing assets with those of Geely, creating a division to supply in-house brands and also potentially others with next-generation combustion and hybrid engines. Automobilwoche said this new division would start operating by the end of March, which could be a possible starting point for cooperation with Daimler, while a further step could be a partnership to develop electric power trains. Geely and Daimler have said they plan to build the next generation of Smart electric cars in China through a joint venture and the two companies are also cooperating on a premium ride-hailing service in China. Geely bought Volvo Cars in 2010 from Ford, allowing the Swedish brand to operate on an arms-length basis. But in recent years, it has deepened cooperation between the two brands. Volvo already supplies engines to some Geely-branded vehicles, sharing technology through Geely's Lynk brand. Both companies share and develop common vehicle platforms. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Current Volvo XC90 to live on in China?

The current, long-serving Volvo XC90 might not be going away as soon as we thought - at least not in China. According to word from CarNewsChina, the crossover's production will be moved to Daqing, China, in December and from that point on, be built at Geely's factory. The only available engine will be a 2.5-liter turbocharged five-cylinder.
According to the report, the present XC90 and the imminent next-generation model will both be sold in the market, but the Chinese-made vehicle will be positioned as a cheaper alternative. Geely will also develop a crossover of its own from the platform that should be ready in late 2015.
Volvo plans to launch the new XC90 later this year to replace the aging model, which has been on the market for over a decade. It will ride on the company's new Scaleable Product Architecture platform and will be powered by the automaker's new Drive-E four-cylinder engine family. Hybrid versions will also be available.

2014 Volvo XC60 scooped before launch

A Chinese automotive site has snagged the first spy shots of the updated Volvo XC60, completely uncovered. While the overall profile of the vehicle remains intact, the headlights are heavily revised. Gone are the two-piece units, which featured the separate light strip between the main cluster and the grille. In place now are larger lenses, somewhat reminiscent of those found on the S60 sedan. Also updated is the grille, which gets a little wider to meet the new headlights. The grille receives more chrome, while the lower front fascia has been revised with wider openings. A pair of LED fog lights are pushed way out to the corners.
Out back, the license plate holder gets a bold chrome strip above it, and the recessed exhaust is replaced with chromed, dual exhaust outlets that have been integrated into the bottom of the rear bumper.
Inside, the instrument panel has been revised, with a large, centrally mounted speedo, featuring a digital display in the center. According to reports, this is a similar setup to that of the new V40. As such, it appears that the changes are thoughtful efforts to move the XC60 forward by incorporating the most current Volvo design elements.