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Geely/Volvo joint R&D center begins operations; common modular architecture for next-gen C-segment cars

The joint R&D Center of Geely Auto and Volvo Cars in Gothenburg, announced earlier this year (earlier post), has begun operations. The Center is embarking on a focused program to develop a modular architecture and components for the next-generation C-segment cars for both Geely Auto and Volvo Cars.

In parallel, Volvo Cars’ is continuing the the development of its architecture for larger segments (SPA) within its own R&D organization.

Developed in accordance with international standards, the modular architecture is intended to deliver economies of scale and scope in terms of development, testing, and procurement. Volvo Cars will continue to focus on the global premium car market, while Geely Auto will remain focused on the mass market.

Geely Group says it plans to invest heavily in the Center to support its research and development as well as daily operations. The Center has been staffed by existing engineers from Geely Auto and Volvo Cars as well as externally recruited talent to further strengthen the team. At present, approximately 70 engineers have started working in the Center; Geely anticipates the number reaching its targeted 200 by the second half of 2014.

The modular architecture is an important springboard for Geely Group’s sustainable development globally and benefits the growth of both Volvo Cars and Geely Auto. The architecture will provide Geely Auto with the tools to improve its products and technology significantly. Capital investment in the Centre will help drive Volvo Cars’ technological advances. Access to Geely Auto’s OEM suppliers in Asia will also be made available to Volvo Cars for procurement optimisation as needed.

—An Conghui, President of Geely Group

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