Volvo finds a way to squeeze into small car market

Swedish carmaker solves a few small problems in developing compact cars

Volvo seems to have sorted out its problems with developing a new range of small cars, and has just announced that it and its Chinese owners, Geely, will collaborate on a new architecture for compact hatchbacks and 4x4s.

The Swedish company had lacked a suitable base upon which to build a successor to the current V40 range (above) and any SUV-style spin offs, but the new announcement seems to have eliminated that worry.

The new platform will be shared between Volvo and a new brand that it and Geely are jointly developing for the Chinese market and which will allow Volvo to build an XC40 rival for the Range Rover Evoque.