Late last month, news emerged that Chinese automaker, Geely, had purchased a fifty-percent stake in the Malaysian car company, Proton. Why should we care and why am I reporting on this? Well, Proton owns all of Lotus, which includes the struggling car company and Lotus Engineering, a company that undoubtedly has the know-how to make a golf cart handle like a Porsche 918. Due to the Proton deal, Geely owns all of Lotus, which is exciting news, for reasons that I am about to explain.
|(Image created to Lotus)|
Before I give my reasoning for why we should be excited, I feel that it is important for me to discuss Geely and its impact on the automotive industry as we know it. The company was formed by the Chinese billionaire, Li Shufu in 1986, with the parent company producing lackluster cars for the Chinese domestic market ever since. It never fell under our radar until the company purchased Volvo in 2010. Under Geely's ownership, all of Volvo's latest hits, including the all-new XC90, S90, and XC60 have taken shape, with more to come in the not-too-distant future. In addition to Volvo, Geely also owns the upcoming car subscription service, Lynk & Co, and the London Taxi Company. In other words, Geely has positioned itself to compete on a global scale, without actually having to bring the Geely brand to overseas markets that are difficult to break into, such as the US and Europe.
|(Image credited to Lynk & Co.)|
|(Image credited to the London Taxi Company)|
|(Image credited to Proton)|
|(Image credited to Volvo)|
The main reason I see hope for this treasured brand under Geely's ownership is the fact that Geely will most likely turn Lotus around in the same manner that it used to turn Volvo around. In other words, it will give Lotus a lot of money and tell let it run autonomously of the parent company. If those in charge of the Lotus car brand mess up, the brand is done. This methodology has worked with Volvo, and in a product-driven industry, allocating Lotus the cash that it needs to develop new products will surely lead to success, even if it does take a few years for the fruits of this labor to emerge, as was the case with Volvo.
|(Lotus Elite Concept- Image credited to Lotus)|
|(Lotus Elise Concept- Image credited to Lotus)|
|(Lotus Eterne Hybrid Sedan Concept- Image credited to Lotus)|
|(Lotus Elan Concept- Image credited to Lotus)|
|(Lotus esprit Concept- Image credited to Lotus)|
I know it seems hard to believe, but it appears that Lotus finally has a bright new future ahead of it, and for enthusiast of the brand and the industry alike, this is certainly fantastic news.
Thank you for reading and have a good week.