China Knowledge reported that Swedish automaker Volvo which is owned by Zhejiang Geely Holding Group has decided to manufacture Volvo cars in southwestern China.

Reportedly, the carmaker has decided to make Chengdu as the manufacturing base and Shanghai as its China headquarters and R&D center. Zhejiang Geely already has its own car plant in the Longquan Economic Development Zone on the outskirts of Chengdu.

Zhejiang Geely, the parent of Geely Automobile Holdings took over Volvo from Ford Motor in August 2010 which is China largest auto acquisition.

(Sourced from China Knowledge)