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Ford: Volvo going to Geely

Ford Motor Co confirmed last week that all substantive commercial terms relating to the sale of its Swedish unit Volvo Car Corp have been settled between Ford and privately owned Chinese carmaker Zhejiang Geely Holding Group Co Ltd.

While some work still remains to be completed before signing - including final documentation, financing and government approvals - Ford and Geely both said a definitive sale agreement will be signed in the first quarter of 2010, with closing of the sale likely to occur in the second quarter, subject to appropriate regulatory approvals.

The sale would ensure Volvo has the capital necessary to further strengthen the business and build its global franchise while enabling Ford to focus on and implement its core strategy it calls ONE Ford .

Wuling hits 1 million mark

SAIC-GM-Wuling, GM's joint venture with SAIC Motor and Wuling Motors, announced last week that it had become the first automaker in China to sell 1 million vehicles in a single calendar year.

The Wuling brand, which makes minivans, is also the first domestic vehicle nameplate to achieve annual sales of 1 million units.

The sales are up almost 60 percent from 2008.

The joint venture, based in southern city of Liuzhou is on track to remain China's vehicle sales champion for a fourth consecutive year.

GM has a 34 percent stake in the venture, while SAIC and Wuling hold 50.1 percent and 15.9 percent respectively.

Latest Toyota recall

Toyota Motor Corp last week announced a recall of more than 43,000 imported vehicles in China for potential oil pipe problems.

The recall affects 6,848 units of the Highlander SUV, 3,313 units of the Previa MPV and 33,042 units of the Lexus RX350 and ES350.

The move came four months after the Japanese carmaker recalled nearly 700,000 vehicles in China, the biggest auto recall in the country.

Motoring

(China Daily 12/28/2009 page7)