Ford plans to sell Volvo Cars are progressing, CEO Alan Mulally said on Friday on the sidelines of a car plant ground-breaking event in China.

Geely Automotive has said its parent company plans to bid for Volvo.

Ford has yet to officially put Volvo up for sale, but Geely executives have said they would like to buy the company, with some media putting the price tag at around US$2.5bn, a Reuters report said.