Volvo union meets Geely, no detail on financing

Union leaders at Ford Motor's Volvo car unit held their first talks with China's Zhejiang Geely Holding Group on Thursday but are still waiting to see Geely's financing plans for the Swedish carmaker.

Volvo Cars union IF Metall Chairman Mikael Sallstrom told Reuters Geely had been clear on its intentions to keep production in Europe, but the parties had not discussed issues such as how Geely will fund future investments.

"It was a first meeting and as such meetings go, they presented their overall ambitions," Sallstrom said. "But they were very clear on that they plan to keep and develop their business in Europe, and that they will allow volumes to grow, which was a positive thing."

Zhejiang Geely Holding Group, parent of Geely Automobile, was named by Ford as a preferred bidder for its loss-making Swedish car unit last month.

Representatives for Geely are in Sweden this week to meet Volvo's management team, the Swedish government and Volvo union leaders as a part of negotiations with Ford.

Sallstrom added the union would meet Volvo's management team next week to lay out plans for further talks with Geely.