Pretoria - Volvo Car South
Africa (VCSA) aimed to gain a
10 percent share of the local compact
luxury and medium luxury
segments, Robert Norrman, the
managing director, said yesterday.
The company, through Volvo
Car Corporation (VCC), is part of
the Premier Automotive Group
within Ford Motor Company.
Norrman said Volvo Car SA
planned to sell more than 3 000 vehicles
in South Africa this year.
Last year Volvo achieved sales
of about 2 000 cars but it experienced
supply problems because of
the financial problems of the
Wheels of Africa group.
Norrman said the first Volvo
S40 cars came off the Samcor assembly
line in Pretoria at the beginning
of this month and production
of the Volvo 40 would start
later this year.
``By July this year, we will have
ramped up production to 2 000 to
2 500 cars a year. It is a fantastic
plant in Pretoria and it`s only natural
to seek synergies,`` he said.
The transfer of the assembly of
Volvo cars to Samcor follows the
collapse and liquidation of the
Wheels of Africa Group companies
and the Motor Company of
Botswana, which previously assembled
Volvo S40 and V40 cars on
a contract assembly basis.
It also follows Ford Motor Company`s
acquisition of VCC last
year, and the increase of Anglo
American Corporation`s shareholding
in Samcor from 45 percent
to 90 percent. Ford Motor Company
has since concluded arrangements
for the acquisition of the remaining
10 percent in Samcor
from the employees` trust.
Norrman said Volvo SA would
increase the number of its dealers
from 15 to 20.