Fantasy merger: Volvo and Subaru

Ford clearly wants to sell Volvo to the right buyer at the right price. Given that they are considering Chinese conglomerates the right buyer, it seems like Ford is looking for anyone who will pay the $2.4B value of Volvo.

Whoever buys Volvo is going to want to get their money’s worth. Someone who is known for somewhat quirky designs, a company known for their AWD and a company that places importance on safety is the ideal buyer for Volvo. And in my opinion, that company is no other, than Subaru.

Volvo use to be known for relatively fuel-efficient vehicles. While their current line of 5-cylinder engines keep fuel consumption in check, their new sixes are far from efficient. Subaru seems to have sorted out their sixes quite well as the new 3.6L Outback is better on gas than either of the Volvo XC70s.

When Volvo decided to go up-market a few years ago they handed over a giant market niche to Subaru. It makes sense to start sharing certain technologies. I am not proposing the next V50 be a rebadged Impreza wagon a la 9-2x.

Instead, they should just share parts, the Mazda6 and Ford Fusion have the same platform just like the Audi TTRS uses an engine from the US market Jetta. In order for this to work, Toyota will have to do some funding or Fuji Heavy Industries may have to buy back Subaru and takeover Volvo.

However, this is just a fantasy of a fanboy.

Comments

[Ckernzie]

Great fantasy though. I never thought about it before but I think you are bang on! Added bonus is that Volvo is actually a popular (in Japanese terms) and respected marque in Japan. Now if we can only convince the folks at Fuji Heavy that it's a marriage made in heaven!

[BernardP]

The possibilities are endless: SUBAVO, VOLBARU, VOLARU, VOLVARU, VOSUBA, SULVO, VSB...