The Volvo Group, Sinotruck (BVI) Limited, and China National Heavy Duty Truck Group Corporation (CNHTC) have signed an agreement whereby Sinotruck (BVI) Ltd, a wholly owned subsidiary of CNHTC, and CNHTC agree to purchase all of Volvo Group's equity interest in Jinan Huawo Truck Corporation (joint venture), in which Volvo Group currently holds a 50% equity interest. The agreement is subject to approval by the PRC authorities.
This partnership commenced in 2003, the joint venture has for various reasons not become the business success that both parties had expected.
The newly signed agreement describes detailed arrangements of the withdrawal of Volvo Group from the joint venture.