Volvo Revises 2030 Electric Vehicle Goals

Volvo has revised its commitment to fully transition to electric vehicles (EVs) by 2030, now targeting 90-100% of its sales volume to comprise electrified models, including plug-in hybrids. This shift responds to declining demand for EVs, influenced by rising prices and inadequate charging infrastructure, alongside recent European tariffs on electric vehicles imported from China. The automaker plans to allow a small percentage (0-10%) of mild hybrids in its lineup, reflecting broader industry trends as other brands like Mercedes-Benz and Volkswagen also adjust their EV strategies. Currently, Volvo's electric models account for 26% of its sales, with expectations to reach 50-60% by 2025. Despite this change, Volvo maintains its long-term goal of becoming a fully electric brand and has five electric models available now, with five more in development. CEO Jim Rowan emphasized the company's belief in an electric future, while acknowledging the non-linear nature of the transition to electrification.