Volvo Cars, Geely Auto abandon merger plans

SWEDISH automaker Volvo Cars and China’s Geely Auto said yesterday they were abandoning merger plans but said they would reinforce their collaboration on electric vehicles.

“Volvo Cars and Geely Auto have agreed on a wide-ranging collaboration that will maximise the strengths of the Swedish and Chinese automotive groups” but will preserve “their existing separate corporate structures”, the two carmakers said in a joint statement.