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Business & Money

Saab and Volvo speed up production

Published: 13 Aug 10 16:23 CET | Print version
Online: http://www.thelocal.se/28362/20100813/

Swedish carmakers Saab and Volvo have both increased production to satisfy rising demand for their cars. Several hundred workers who had previously been laid off have been rehired.

“Just before the holidays we increased our production rate from 38 to 45 cars per hour. This is due to the fact that sales have increased by 20 percent in the first half of the year. We are therefore producing about 3,500 cars per week this winter,” said Stefan Elftsröm of Volvo’s information department.

Volvo’s factory in Torslanda, near Gothenburg, will restart production next week after a four week summer shutdown. An extra 200 people were taken on by the company before the summer break, most of them part time workers to build the new V60 model, which is due to be delivered to the first customers in the autumn.

Saab, which this winter was on the brink of bankruptcy before being taken over by Dutch sportscar maker Spyker, took on an extra 200 people in the early summer. The extra workers were needed to increase production.

The company’s factory in Trollhättan will start producing cars again on Monday, after a three week break.

“Before the holiday we increased production from 28 to 39 cars per hour, or slightly more than 300 cars per day,” said spokesman Eric Geers.

Chinese automaker Geely formally completed the purchase of Volvo Cars at the beginning of August.

TT/The Local (news@thelocal.se/08 656 6518)

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03:00 August 14, 2010 by repat_xpat
I drove the new 9-5 and had a good look at it. The car is very nice, but the Buick Lacrosse is better, and $10K less. This has always been the issue with SAAB, pretty good, but 10K more than its worth. There will be buyers, but never enough to sustain the company unless they change their fundamentals. I wish the best for THN, but my fears have not subsided.
03:10 August 14, 2010 by volvoman9
Interesting as the Buick has a lot of Opel design cues and parts are sourced from the same. The Buick's appeal is therefore primarily of German influence.

Now for Saab. They may still be closely linked to Opel as well which would make sense but I have no evidence for this claim. Buick is enjoying some great success especially in China where they sell more of them than in the U.S. Buicks have always been considered a "Blue Hair's" ride.

Having said all this the jury is still out for me when factoring build quality in any American built car. This is why we pay the premium for the foreign models.
03:15 August 14, 2010 by porksteak
Buick Lacrosse? Are you serious?

GM has improved significantly. I'm sure the quality is pretty good and it looks nice. However, from the reviews I've read the Lacrosse is still another Buick suited for old folks.
11:56 August 14, 2010 by Twiceshy
Squeeze that taxpayer teat while it lasts, Saab.
01:00 August 15, 2010 by GLO
Good short term news. Price+Future?????
14:36 August 16, 2010 by spy
repat_xpat

There is such a thing as Walter Mitty Syndrome, I think you should get checked out.
04:32 August 18, 2010 by repat_xpat
Projection?
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