It's reported by Sweden newspaper that the joint-venture Negotiations between Sweden Volvo Group and China Dong Feng Group was close to the end, they would begin to cooperate in May next year in China if everything is going well.
The development speed of China's truck market is impressive in the world, both sides hope to cooperate as early as possible, but it still needs to be approved by Chinese government. Chinese government also hope Volvo truck and its spare parts localization eagerly. Therefore, both sides established research & development institution to research how to reduce the proportion of importing spare parts. Heavy truck department of Dong Feng Group would be taken apart to make up a joint venture with Volvo, manufacturing Volvo Trucks and Renault Trucks in a car factory of Dong Feng Group.
Chinese truck market develops fast, while Dong Feng Group's market share is dropping. Therefore, Dong Feng Group hopes to accelerate their development through this cooperation with Volvo.
