Collaborations between auto companies around the world have gained momentum last year. Volkswagen AG and Ford Motor Co. On the way to a partnership, Fiat Chrysler Autombiles NV is preparing to merge with the PSA Group, the owner of the French brand Peugeot.
Volvo Cars' owner, Li Shufu, is considering combining the Swedish auto brand with Geely, the unit traded in Hong Kong.
Volvo, which is fully owned by Li's Geely Group, is publicly available Gelly Automobile Holdings Ltd. will work on the proposal to merge with. The company, which will appear after the merger, will be listed both in Hong Kong, where Geely Automobile is traded, and in Sweden.
Li's collaboration with automakers sees its resources as a better way for topics such as electric cars and autonomous driving.