Lynk & Co Europe 2027: Volvo Cars becomes exclusive distributor

© A. Krivonosov

Five months ago, it was only a preliminary plan, but Geely and Volvo Cars have now formalized it with a final agreement. From January 2027, the Swedish company will become Lynk & Co’s exclusive distributor in Europe and take over commercial and brand operations, including sales support and after-sales service through its own network.

This marks a new stage of the agreement the companies first announced on March 30. At that time, the two sides had signed only a non-binding memorandum: the future setup still depended on final agreements and approvals. Volvo was already expected to use its dealers and service outlets, but no launch date had been specified.

The change in model is especially notable against Lynk & Co’s original strategy. The brand entered Europe with a focus on subscriptions and direct customer relationships, but gradually rebuilt its business around conventional dealer sales. Cooperation with Volvo also started before the latest deal: back in 2024, the partners agreed to use selected Volvo dealers in seven European countries, including Germany, France, Spain and Italy.

Volvo is not gaining control of the brand itself. Geely Auto Group will remain responsible for Lynk & Co’s global product development, certification and operations outside Europe. That distinction matters after Volvo sold its 30% stake in the company in February 2025: the new agreement concerns operational cooperation and does not change the ownership structure.

The push to accelerate European expansion comes as Lynk & Co sales decline. The brand sold 17,027 vehicles in August, down 37% year on year, while sales for the first eight months fell 15% to 177,624 units. At the same time, total Geely exports rose 205% to 110,094 vehicles in August. From January 2027, Volvo is expected to turn the existing patchwork cooperation with Lynk & Co into a unified European sales and service system.