Geely denies report about Volvo's Shanghai plant

Shanghai, April 19 (Gasgoo.com) Previous reports said that Geely-Volvo's headquarters and plant will be located in Jiading District, Shanghai, but today Geely said a Chinese manufacturing base for Volvo cars has not been decided upon yet, the People's Daily reported.

Zhejiang Geely Holding Group signed a deal at the end of last month with Ford Motor Co. to acquire the U.S. auto giant's Volvo car unit for $1.8 billion, and since then there have been many guesses about where Volvo's China plant will be established.

Recently Chinese media reported that Geely-Volvo (China) headquarters will likely be located in Shanghai Jiading Industrial Zone, and the China plants will be built in Shanghai's Jiagding District and Heilongjiang province's Daqing city.

Geely Chairman Li Shufu, contacted by a reporter from Wenhui Daily, said today that [Volvo's Shanghai plant] is just speculation by the media. "I don't even know where the plant will be, how could they tell?" Li said.

However, Li stressed that there will be a Volvo headquarters and production base in China but exactly where [they] will be located will not be determined until all the legal formalities are gone through.