Volvo says it plans to become a fully electric car company by 2030, phasing out cars in its global portfolio with an internal combustion engine, including hybrids. In addition, Volvo’s electric models will be available online only as the company focusses on a “more complete, attractive and transparent consumer offer” under the name Care by Volvo.
The company says its transition towards becoming a fully electric car maker is part of its “ambitious climate plan”, which seeks to reduce the lifecycle carbon footprint per car through “concrete action”. Its decision also builds on the expectation that legislation and rapid expansion of accessible high-quality charging infrastructure will accelerate consumer acceptance of fully electric cars.
Volvo says the 2030 ambition is driven by strong demand for its electrified cars in recent years and a firm conviction that the market for combustion-engine cars is a shrinking one.
“To remain successful, we need profitable growth. So instead of investing in a shrinking business, we choose to invest in the future – electric and online,” said Hakan Samuelsson, Chief Executive of Volvo Cars. “We are fully focused on becoming a leader in the fast-growing premium electric segment.”
Henrik Green, Chief Technology Officer at Volvo Cars, said there is no long-term future for cars with an internal combustion engine.
“We are firmly committed to becoming an electric-only car maker and the transition should happen by 2030,” he said. “It will allow us to meet the expectations of our customers and be a part of the solution when it comes to fighting climate change.”
Volvo launched its first fully electric car, the XC40 Recharge, in markets around the globe last year and revealed its second fully electric car, the C40 Recharge, earlier this week. Based on the CMA vehicle platform, the C40 Recharge is the first Volvo model designed to be a purely electric vehicle.
In the coming years, Volvo says it will roll out several additional electric models. By 2025, the company aims for 50 per cent of its global sales to consist of fully electric cars, with the rest hybrids. By 2030, it expects every car it sells to be fully electric.