What a merger for Volvo Cars could mean for Sweden

2:47 min

The Chinese owner of Volvo Cars wants to merge the Swedish automaker with its China-based Geely Auto company. But what impact would this have for Sweden?

The companies announced on Monday a planned merger before the year's end that would create "a strong global group, which would accelerate financial and technological synergies between the two companies."

Reporter Victor Jensen, who's covered the auto industry for Swedish Radio News, says most analysts and unions are positive to the announcement but some believe it could shift some authority and decision-making power away from Sweden.

Volvo Cars is based in Gothenburg but has been owned by Geely holding company since 2010.

Take a listen to hear what the move could mean for the two brands.