Swedish car makers


CONTENTS


Volvo

Owned by Ford, under the control of Ford (Europe)
Introduction Volvo is a medium size premier car maker in Sweden. With a production volume of around 400,000 cars a year, it easily topples Saab to be the largest Swedish car maker. However, such volume seems unable to keep the company independent these days. Therefore its mother company, the Volvo industrial group, sold the car division to Ford in 1998 for US$ 6.45 billion. The group got the money to concentrate on its truck business. Therefore Volvo Cars no longer has any relationship with the Volvo truck company.

Volvo Cars was integrated into Ford’s Premier Automotive Group (PAG), which also consists of Jaguar, Land Rover and Aston Martin. However, Volvo's design and R&D are actually independent of other PAG members. Instead, it shares platforms and components with Ford Europe and Mazda. For example, S40 / V50 was derived from the Ford Focus / Mazda 3 platform.

As everybody knows, Volvo is renowned for producing the safest cars in the world. Its research and development in this field paid off when S40 and S80 scored the highest marks in European NCAP crash test. It has many innovation about safety, such as SIPS (Side Impact Protection System), inflatable curtain air bag and WHIPS (Whiplash Protection System). It was also the first car maker taking pedestrian protection seriously.

However, since the early 90s, Volvo has been building a more dynamic image to lure younger buyers. At the beginning, it launched high-performance versions of the 850 sedan (T5 and T5R). Then design chief Peter Horbury injected a new design direction to the company in the S80, V70 and S60. Under the umbrella of Ford, Volvo expanded its product range to 5 model lines, including the trend-setting XC90. Now it
covers wider audience than ever.
Sales figure 2005 sales: 443,963 units
2004 sales: 455,950 units
Location Sweden
Brief History Volvo was formed by businessman Assar Gabrielsson and engineer Gustaf Larson in 1927. In the first year it sold 297 cars, all were the model OV4 which was based on an American design. The early Volvo was conservative in design and technology and was lack of a global recognition. However, benefited by the low labour cost in Sweden (not anymore today), it grew gradually and started to export cars abroad, especially is America. Soon it emerged as the largest car maker in Sweden and beat GM’s subsidiary there.

It concentrated on medium price to luxurious cars until the arrival of PV444 in 1947, the first small cars for Volvo. It doesn’t appears for technology, but the 4-cylinder car was aggressively priced. It was also the first mass production car for Volvo, resulted in 100,000 sales in 9 years. The next small car, Amazon (called 120 in overseas), was born in 1956. 667,000 units were produced during its 14 years life. 
With PV444 and Amazon, Volvo expanded rapidly from the late 50’s to the 60’s. A larger plant at Torslanda was built to add an annual capacity of at most 200,000 cars.

The products were still conservative, excluding the P1800 sports car which was born in 1961. Today the 2-seater is still the only sports car Volvo ever produced. It was assembled in UK and powered by a 4-cylinder 1.8-litre engine.

In 1966, the Volvo 144 started establishing a reputation for safety. It had disc brakes all round, 3-point safety belts, crumple zones front and rear and fail-safe dual-channel brake system. A more important model, 240-series, was presented in 1974 and continuing serving the company until late 80’s. The 240 turbo was the first turbocharged Volvo and even performed strong in motor racing.

Volvo 760 / 740-series was born in 1982 as the company’s flagship model. Its angular shape dominated the company’s design philosophy until today’s S80. Its PRV V6 engine was developed jointly by PSA, Renault and Volvo itself. The relationship with Renault was extended to a talk for merger but eventually broke down.

Volvo also had a factory in Holland, which was mainly owned by the Dutch government. It was used to produce the "small Volvo", 440 / 460 / 480 series. In the 90s, Mitsubishi joined the venture by taking 18.3% stock. The factory became "Ned Car" and produced Volvo S40 and Mitsubishi Carisma.

The Volvo 850 of 1991 changed the company’s image from a conservative car maker to a dynamic brand. It was tuned to deliver a good handling. The modular 5-cylinder engine was developed by Porsche and in its hottest form, T5R, delivered 250 horsepower. Even so, the car still preserved the leading edge in safety by introducing a side impact protection chassis structure (SIPS).

The S80 of 1998 is undoubtedly another peak of Volvo. The same year also saw Volvo departed from its mother group and was sold to Ford.
Famous models S80 - the best Volvo yet. Unique character and safe.

Saab

Owned by General Motors - 100%
Introduction Saab is 100% owned by GM since 2000. In terms of productivity it is one of the smallest "mass production car maker" these days, with around 100,000 cars produced annually.

The company used to emphasis aircraft inspiration (thanks to its aircraft division which made Swedish jet fighters JA35 / 37 / 39) and turbocharged 4-cylinder engines (Saab 99 was the first mass production turbocharged car). In recent years, its unique character is fading out as it uses Opel platform and components increasingly to save costs.

Even worse, to stop its loss, GM ordered it to sell revamped version of Subaru Impreza and Chevrolet TrailBlazer SUV as Saab 9-2X and 9-7X respectively in the North America. Unquestionably, this will upset those admire the unique character of Saab.

But the worst news broke out in Mar 2005: GM decided to shift the production of the next generation 9-3 and 9-5 to Opel's plant in Germany. This is equivalent to sentence the Swedish company to death. Losing its own R&D and factory, Saab will become a marketing brand only.

Sales figure 2005 production at Sweden: 103,400 cars
2004 production at Sweden: 128,000 cars

2005 production by models:
9-3: 74,200 units
9-5: 29,100 units
Cadillac BLS: 100 units
Location Headquarters, R&D center and main assembly palnt : Trollhattan, Svergige, Sweden. 
R&D and manufacturing of 4-cylinder engine : Sodertalge, Sweden. 
Gearbox plant : Gothenburg, Sweden.
Brief History The Saab story started in 1937 as a military aircraft maker, Svenska Aeroplan Aktiebolaget (SAAB). After the war, it decided to make cars. By 1949, the first car, Saab 92 went into production. It was a front-wheel-drive saloon with a transverse 2-stroke engine. The 2-stroke design carried on until the 60’s, the powertrain layout still remains unchanged today. The car got a smooth body inspired by aircraft.

The company was very small, as shown by the sales figure: in 7 years’ time, just 20,000 units of the 92 rolled out its factory. Even more, the company relied on one model only, although the 92 was soon derived into 93, 95 and 96. The 92 family died away in 1968 as its successor, the all-new 99, went into production. The 99 has a unique (or ugly) shaped so hard to forget. Itself and its variants kept in production for one-fourth of a Century, thanks to the continuous updating. A 3-doors hatchback (so-called coupe) was introduced in 1973, the famous 99 turbo was added in 1977. The improved version, Saab 900, was launched in 1978. 900 Turbo 16S - the first mass production car with 4-valve turbocharged engine - was born in ’83.

The next year saw the addition of a second model, 9000. From its name you’ll know it is the larger and more luxurious car. It was derived from the Type 4 project which shared platform with Fiat Croma, Lancia Thema and Alfa 164. The advanced 16V turbo engine provides sparkling performance.

Back in 1969, Saab merged with local truck maker Scania. They split in 1990 as GM took 50% stock of the car division. With the help of GM, Saab got the support from Opel and produced the new 900 (later to be renamed to 9-3) based on Opel Vectra platform. 4 years later, the 9000 was replaced by 9-5, which was also a development from Vectra. Saab started losing its unique character.

Since the late 90s, the world market for premium cars gradually shifted towards German strong marques like BMW, Audi and Mercedes. Saab was one of the victims.
GM bought the remaining 50% share in 2000 and tried to turn around it. However, without a long vision, the American company continued ruinning Saab's unique character by introducing revamped version of Subaru Impreza (as 9-2X) and Chevrolet TrailBlazer SUV (as 9-7X). Despite of that, sales of these cars fell behind expectation.

In 2005, GM finally ran out of patience. It decided to shift the future production of 9-3 and 9-5 to Opel. This means the
Trollhattan plant and the real Saab will come to an end in 2008.
Famous models 99 turbo - the first mass production turbocharged saloon

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