Volvo has announced plans to expand its Daqing factory in China where they will build an all-new premium sedan, likely the S90.

Volvo has announced plans to expand its Daqing factory in China where they will build an all-new premium sedan, likely the S90.

The Daqing plant in China is where the Volvo XC90 Classic is being assembled by approximately 700 workers capable of an annual production output of 80,000 cars but the facility will be upgraded to boost capacity and prepare for the Scalable Product Architecture (SPA) products. Volvo says the first of the bunch will be "an all-new premium sedan" and chances are they are referring to the S90 which will serve as a successor for the aging S80.

Based on a recent report, the Volvo S90 will be out in 2016 as a direct competitor for the BMW 5-Series, Mercedes-Benz E-Class and Audi A6. It will be offered with several four-cylinder gasoline & diesel engines sourced from the second-gen XC90 while the car's dimensions will be similar to those of the outgoing S80. Both the exterior & interior design will be heavily influenced by the XC90 so expect to see T-shaped LED DRLs, a more curvaceous body while the cabin should boast premium leather upholstery, metallic and wood accents, big touchscreen display and a digital instrument cluster.

The same report mentions a starting price in United Kingdom of "just over" £30,000 (about $46,700 / £38,000).

Note: 2015 Volvo S80 (US-spec) pictured. 

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