Volvo Follow The Tokyo Motor Show

Volvo, the Swedish unit of Ford Motor Co., will not participate in the Tokyo Motor Show this fall.

"We have evaluated our participation at motor shows for 2009 to see how we can make the most out of our resources, and this year we decided not to participate at Tokyo," Volvo spokeswoman Maria Bohlin said today in an e-mail.

Ford Motor Co. said earlier this week it would not participate in the show, but a spokeswoman said she could not comment on plans for Volvo or Mazda Motor Corp.

Mazda will participate in this year's show. Last year, Ford raised $540 million by cutting its stake in Mazda from 33.4 percent to just over 13 percent, but the two automakers will continue joint ventures and the sharing of vehicle platforms and powertrains.

Ford joined General Motors and Chrysler LLC in skipping the event this year. Pullouts by non-Japanese automakers and concerns raised by some Japanese automakers stemming from the global auto sales slowdown have cast doubt on whether the October 21-22 show will take place.

The Japan Automobile Manufacturers Association will decide by early next month whether to postpone the show, Toshihiro Iwatake, JAMA's executive director, told Automotive News earlier this week.

If the event is canceled, the next Tokyo Motor Show would be in 2011, Iwatake said.

Several auto companies pulled out of the Detroit auto show, which opens to the public tomorrow. The missing companies included Nissan Motor Co., Suzuki Motor Corp., Porsche AG, Rolls-Royce and Land Rover. Mitsubishi Motors Corp. canceled its corporate presence, but local Mitsubishi dealers put together an exhibit.

Some participating automakers, including federal loan recipients Chrysler LLC and General Motors, toned down their Detroit displays and built single-story exhibition stands to save money.

Volvo Truck’s New Merchandise Collection

Coinciding with the launch of its new truck range, Volvo Trucks has presented an in-house designed merchandise collection. The range, which consists of two collections, the “FH16” and the “Volvo Trucks”, comprises more than one hundred items, including leather wear, UV-safe baby clothing, bags, watches and lifestyle products.

Without wanting to sound stereotypical, we can’t help thinking that the collection and especially the “feline” models promoting them in the pictures seem to share more in common with C30 customers than with your typical truck drivers… -Continued

Volvo to Lay Off 2,000 Employees

Ford Motor Company’s Volvo Cars unit is planning to cut 2,000 jobs as part of a cost reduction programme which is estimated to reduce the total cost level by 4 billion SEK (approx. $700 million USD). The Swedish company said that it will lay off 1,400 white collar (consultants included) and 600 blue collar workers.

The notice includes 1,200 employees at Volvo Car Corporation in Gothenburg (1,105 employees), Volvo Car Sweden (45 employees) and Volvo Cars Body Components in Olofström (50 employees). Also, contracts with around 500 consultants will be cancelled while the company is also planning to reduce its workforce by 300 people abroad. -Continued

"This is an unfortunate but necessary action if we are to achieve a better financial position", said Fredrik Arp, President and CEO of Volvo Car Corporation. "We must tackle the difficult marked conditions, most of all in the US market. The market contribution to cover Volvo Cars' costs is very small", Arp continued