Volvo mulls sharing more platforms and production with Ford

There are plenty of rumors claiming Ford could sell Volvo, just as it has with Jaguar and Land Rover, but new reports give a clear hint Volvo won’t be leaving the Ford group anytime soon. Executives see a future where both carmakers would work much closer together and possibly even share production facilities. Volvo already shares much of its vehicle platforms and components with Ford, Jaguar and Land Rover but the increasing exchange rate differential between the strengthening euro and weakening U.S. dollar is making it less profitable to sell cars in North America.

During a recent interview with Automotive News, Volvo CEO Fredrik Arp said using more parts from Ford's North American supply base is an option. "If we are sharing components and platforms, then we don't need a huge site of our own," Arp explained. "But if we have our own components and platforms or share with Ford of Europe, then we have to go it alone."

A Ford official, however, claims there are no plans for assembly of Volvos in North America but said a comprehensive review is underway.

Volvo is not alone in its decision to increase its U.S. involvement. Mercedes-Benz and BMW started operations across the Atlantic years ago and soon we’ll be able to add Volkswagen to that list as well.