Volvo Car Avoids US Ban on Connected Vehicles Tied to China (2)

The Trump administration reached an agreement with Volvo Car AB that will allow the automaker to avoid a US ban on connected vehicles tied to China.

Volvo, which is majority-owned by China’s Zhejiang Geely Holding Group, received a specific authorization from the US Commerce Department allowing it to continue importing and selling connected passenger vehicles in the US, the automaker said Tuesday, confirming an earlier report by Bloomberg News.

Volvo shares gained as much as 9.6% in early Wednesday trading in Stockholm. The stock is still down by nearly a fifth this year.

The agreement spares Volvo from ...