Martin Persson, the current general manager of Volvo Motor Japan, returned to China as general manager of the Greater China sales company, reporting to Chief Business Officer Bjorn Annwal. In the official document, Volvo used only "Volvo cars to thank Mr. Chin Peggy for his service and dedication", briefly describing that Mr. Chin Peggy has left Volvo.
In addition, Yuan Xiaolin will continue to serve as president of Volvo Automotive Greater China, reporting directly to Volvo Global CEO Mule, but the content of his work has changed. As the most important regional market for the group's business management team, Yuan Xiaolin's future responsibility is to focus on working with the CEO, the management team and the board of directors to handle strategic issues such as government relations, and to coordinate and manage strategic cooperation with Geely Holdings Group and strategic investment in Greater China, without mentioning continued jurisdiction over the sales business in Greater China.
According to public information, Chin Pei Ji officially joined Volvo Automotive Greater China in 2011 and served as Vice President of sales and Dealer Network of Volvo Automotive Group Greater China and Chief operating Officer of Greater China sales Company. In July 2019, Volvo appointed Chin Pei-ji to succeed Chen Lizhe as president of Volvo Automotive Greater China sales company. Chen Lizhe will return to Taiwan as general manager of Volvo Motor China Taiwan.
During his tenure, Volvo sales grew steadily and led Volvo to accelerate its electrification transformation. Volvo's Chinese mainland sales hit an all-time high in 2021, with total sales of 171700 vehicles, up 3.1 per cent from a year earlier. In 2022, against the backdrop of the outbreak, Volvo's sales in Greater China fell 5.4% from a year earlier, but remained at 160000 vehicles, reaching 162300. The latest figures show that Volvo sold 92700 cars on Chinese mainland from January to July 2023, up 8.2% from a year earlier.
In 2021, Volvo announced a rather radical plan. Volvo says its pure electric models will account for 50 per cent of total sales by 2025, with the rest in hybrid models. By 2030, Volvo will transform into a pure electric brand, when it will sell only pure electric cars, eliminating all cars with internal combustion engines around the world. By 204, Volvo strives to become a climate zero-load benchmark, and all pure electric models will be sold online only.
Volvo is one of the first traditional luxury brands to start electrification transformation, and it is also the first traditional car company in the world to abandon the production of internal combustion engines, but the pace and speed of transformation of new energy products are not fast, basically from oil to electric models. According to the official website, Volvo currently implements four domestic models in China, including S90, S60, XC60 and XC40, of which S90, S60 and XC60 launch plug-in hybrid models on the basis of fuel vehicles, while XC40 launches pure electric models on the basis of fuel vehicles. However, Volvo electric cars perform poorly in the Chinese market.
Volvo's highest sales of electric vehicles from January to July in 2023 were XC60 RECHARGE, 3139, S90 RECHARGE and XC40 RECHARGE were 1975 and 1816, respectively, while other electric vehicles were less than 1,000, according to the Federation of passengers.
Returning to the personnel change, the Tramway report believes that this is a very sudden decision, which means that Chin Pei Ji's media activities at the auto show will also be cancelled as it approaches the 2023 Chengdu auto show. In addition, Volvo cars as a whole is at a critical point of transformation, suddenly announcing the replacement of the president of sales in Greater China, whether the new management team will make adjustments to previous development plans, and whether it will conflict with the existing dealer system.
Industry insiders believe that after the adjustment of Volvo's new management team in China, the global headquarters will have certain requirements for profits in China, so Volvo downsizing, downsizing and reducing support for dealer marketing are all realistic options.
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