The Chinese sister company to Volvo, star-up Lynk & Co, announced that it will launching a new Crossover, the 2.0, as a compact sport utility vehicle crossover. This new addition to the Lynk & CO portfolio adds to its current 01 version, which is a slightly larger crossover, but still fits into the compact crossover category, and which the company began selling the 01 in China late in 2017 with plans to hit the European market by 2020 with a more fully fleshed out model line up.
The Lynk & CO 02, will be built on the Volvo Compact Modular Architecture, which the Lynk & CO 01 and the Volvo XC 40 are currently built on and will come with at shorter, wider and lower frame. The company, which has production facilities in Belgium, will be producing all of its line up here along side its Volvo compatriots. The company, while really short on details, announced that its European entry strategy will start with a dealership in Amsterdam and will look to add Berlin, London, Brussels and Barcelona. The company plans to augment their distribution strategy by developing pseudo pop up stores in other major European centres as a way to reduce its capital requirements and estimates that this could lead to an overall savings of 15% to the bottom line.Lynk & CO, a Chinese start-up that originated in 2015 from an investment from the Zhejiang Geely Holding company that also owns the Volvo brand, is owned by the conglomerate of Zhejiang Geely Holding, Geely Auto and Volvo in which Volvo holds a 30 percent stake, Geely Auto owns 50 percent and Zhejiang Geely Holding picks up the remaining 20 points. The Zhejiang Geely Holding company has been aggressively expanding its global foot print as it continues to make investments in a number of other companies including the famous Lotus brand, the Geely brand, which sells cars in China, Malaysian auto manufacturer Proton and the London EV company, which makes taxi cabs for the UK market and the most recent and interesting investment has been in the US based Terrafugia, which is looking to build out fleets of flying cars. All of this is in addition to the 9% stake the company has recently bought into Diamler, which came at a cool cost of $8.6 billion dollars.