#GeelyAutomotive

Despite having already having Volvo Cars as one of its many subsidiaries, China’s Geely signaled roughly a year ago that it wanted to merge with the brand as part of its strategy to expand globally. Plans changed on this week when the company announced that the duo will be retaining their independent corporate structures, though they will continue working on a joint development program for electric vehicles.

This means more backing for the Lynk & Co. brand, a technology-focused joint venture Geely launched with Volvo in 2016. Lynk is hoping to bridge the gap between traditional vehicle sales and subscription-based models, while also pioneering telematics and other connected services that look like an invasion of privacy to some and a technological breakthrough to others. Regardless, the industry as a whole seems convinced this represents the evolution of the automobile and a stable source of revenue for companies capable of monetizing large amounts of data — often with the help of the world’s largest technology firms.

It seems like we’ve been hearing about it forever — that fateful day when China surpasses the United States by every single metric imaginable and forces everyone to drive its cars. While that premonition has already come to pass in some respects, there’s still no overtly Chinese automobiles milling around on North American roads.

However, manufacturers from The People’s Republic have been looking westward for a decade. I can recall BYD Auto, along with other Chinese firms, having a booth in the basement of the North American International Auto Show way back in 2008. They weren’t there because they had nothing better to do — they were there to size up the competition and let America know they were coming. Of course, nothing happens overnight and Chinese automakers have been a little busy converting their domestic market into the world’s largest. But the time for westward expansion is fast approaching.

There has been some gentle complaining among select individuals that Chinese ownership will somehow taint the purity of the Lotus brand — a strange accusation considering the brand was operating under the Malaysia-based Proton Holdings since 1997 long before being bought by Geely Automotive earlier this year.

Sure, it might not be the Lotus of yesterday but the company’s new Chinese overwatch has said it still has big plans for the brand. Based on its handling of London Taxi and Volvo, we haven’t been overly concerned. But we have been hoping the parent company would elaborate on what that might entail.

Volvo Cars is rolling out a subscription service that allows access to vehicles for a monthly fee. It’s a growing trend among luxury brands. Book by Cadillac is the first service to spring to mind but brands like Porsche and Ford have introduced regional pilot programs offering roughly the same thing. Volvo’s subscription service is not a trial run, however. It’s the full enchilada.

For $600 a month, Care by Volvo is offering access to its new XC40 — the new compact SUV that just started production in Belgium this month. Here’s how it works: Volvo customers choose a car online and make a monthly payment that covers insurance, service, and maintenance. The subscription last 24 months but, during that time, customers will be given the opportunity to change cars and sign up for a new 24-month subscription as early as a year into the existing agreement.

It’s an interesting alternative to leasing and a lot of outlets have praised the service for being so affordable, especially compared to Cadillac’s monthly subscription fee of $1,500. But the services aren’t directly comparable. Fist of all, General Motors allows customers to swap vehicles month to month. Secondly, those models are valeted to you and could have an MSRP in excess of $86,000.

Geely may be pushing the Lynk & Co brand as the most connected and tech-savvy in existence but its senior vice president Alain Visser believes its sales strategy should remain simple. With cars supposedly rolling out in Europe and North America for 2019, Lynk & Co is only planning to offer an extremely limited number of trim choices that rotate seasonally. It’s a fine strategy for an unknown element breaking into the marketplace but it does omit the ability to rake in the additional dough via optional extras. However, it also permits for lower production costs and a flat rate Lynk & Co claims buyers won’t need to bother negotiating.

How convenient for everyone.

China’s Zhejiang Geely Holding Group Company has decided to purchase a 49.9 percent stake in Proton from Malaysian conglomerate DRB-Hicom and a majority share of the United Kingdom’s Lotus Cars.

Geely seems to have an affinity for other manufacturers and eclectic tastes — not just because it has received criticism for modeling its own cars after everything from Roll-Royce to Toyota, but because it also purchased Volvo Cars and the London Taxi Company. This could be extremely good news for Lotus, which always seems to be in a bit of a bind. Whether or not you like the idea of a Chinese company owning distinctively European brands, Geely helped Volvo come back from the brink and has committed to doing the same for Lotus.

“Reflecting our experience accumulated through Volvo Car’s revitalization, we also aim to unleash the full potential of Lotus Cars and bring it into a new phase of development by expanding and accelerating the rolling out of new products and technologies,” stated the company in its official announcement.