Volvo Cars and Geely Auto yesterday announced the signing of a non-binding Memorandum of Understanding (MoU) to establish a new commercial partnership for Lynk & Co in the European market. Under the proposed agreement, Volvo Cars is set to assume responsibility for Lynk & Co’s commercial operations and brand management across Europe, aiming to accelerate the brand’s scaled development. Volvo Cars further specified that it would become the exclusive importer and distributor for Lynk & Co’s electric vehicles in Europe. Volvo Cars stated its intention to sell Lynk & Co models through its established retail network and share its sales and after-sales systems in relevant markets. Lynk & Co Europe echoed this sentiment, noting that leveraging Volvo’s existing central commercial system and dealer network would enable faster expansion and support higher sales volumes. Volvo emphasised that this new cooperation would allow both brands to cover a broader consumer base, targeting different customers and market segments without requiring additional product development costs. A Volvo dealership. Credit: Autocars Crucially, the MoU clarifies that this partnership does not involve any changes to the equity structure. Lynk & Co will remain a brand under the Geely Auto Group, which will continue to lead core operations globally, including product design, research and development, and compliance certification. Established in 2016 as a premium brand by Geely Auto in collaboration with Volvo Cars, Lynk & Co entered the European market in the same year. It currently offers vehicle sales and leasing services in several European countries, having expanded its product line from the initial 01 plug-in hybrid SUV. By integrating with Volvo’s channel system, Lynk & Co aims to move beyond its previous direct sales and subscription-focused model and reach a much wider customer base. This partnership is part of Geely Holding’s broader strategy to integrate its global resources, particularly in Europe. Geely has been building a localised ecosystem around Volvo in Europe, streamlining brand, R&D, and channel operations. For instance, Zeekr is accelerating its entry into mainstream European markets, sharing platform resources with the wider Geely system. Polestar leverages the Volvo ecosystem for its premium electric vehicle market positioning, while Lotus is strengthening its presence in the European high-end segment through brand revitalisation and electrification. Geely continues to expand its European technology centres, promoting platform and modular architecture sharing across its multiple brands to reduce development costs and enhance product launch efficiency. On the sales front, it is building a diverse sales network covering various market segments by integrating Volvo’s mature dealer network with its own direct sales and subscription models. Earlier this year, Geely Auto announced an ambitious goal to achieve over 6.5 million global sales by 2030, aiming to become one of the top five automotive groups worldwide. To realise this, Geely is shifting its focus from external mergers and acquisitions to internal integration, enhancing overall competitiveness through multi-brand synergy and resource reuse.
