Volvo Cars aims to become a leader in the fast-growing market for premium electric cars and plans to become a fully electric car brand by 2030.
The company’s ambition is to then only sell fully electric cars and phase out all cars in its global model range that are equipped with an internal combustion engine, including hybrids.
The company’s transition to becoming a fully electric car manufacturer is part of its ambitious climate plan, which aims to consistently reduce the carbon footprint of each car’s life cycle through concrete measures.
The decision is also based on the expectation that legislation and a rapid expansion of available charging infrastructure will speed up consumer acceptance of fully electric cars.
Volvo Cars’ move towards complete electrification takes place in parallel with an increased focus on online sales and a more complete, attractive and transparent consumer offering under the name Care by Volvo. All fully electric models will only be available for purchase online.
The 2030 ambition is an acceleration of Volvo Car’s electrification strategy, driven by strong demand for the company’s electrified cars in recent years and a firm belief that the market for internal combustion engine cars is shrinking.
“To continue to be successful, we need to grow with profitability. So instead of investing in a shrinking business, we chose to invest in the future – electrically and online” says Håkan Samuelsson, CEO of Volvo Cars. “We are completely focused on becoming a leader in the fast-growing segment of premium electric cars.”
Volvo Cars launched its first all-electric car, the XC40 Recharge, in markets worldwide last year. Later today, the company will unveil its second fully electric car, a new model in the 40 series.
In the coming years, Volvo Cars will roll out a number of additional electric models, and more will follow. Volvo aims for 50 percent of the company’s global sales by 2025 to be electric cars. The remaining 50 percent will consist of hybrids. By 2030, all cars that the company sells must be completely electric.
There is no long-term future for cars with an internal combustion engine, says Henrik Green, chief technology officer. – We are determined to become a pure electric car manufacturer and it is a transition that will take place in 2030. It will enable us to meet our customers’ expectations and be part of the solution when it comes to combating climate change.