Volvo to Transition to All-Electric Vehicle Sales by 2030

Volvo Cars has announced a complete shift to manufacturing and selling exclusively all-electric vehicles by the year 2030. This decision forms a key component of a larger transformation for the automaker, which will also involve a move towards direct online sales.

Sustainability Through Electrification

According to Volvo Cars CEO Håkan Samuelsson, electrification is fundamental to achieving sustainability. He stated during a presentation on Tuesday that, alongside investments in charging infrastructure, this represents the correct path forward for Volvo.

Introducing the C40 Recharge

The announcement coincided with the unveiling of the C40 Recharge, a sleek crossover built on the company’s CMA vehicle platform. This vehicle marks a significant step as Volvo’s first model conceived from the outset as a purely battery-electric offering.

All Volvo vehicles featuring fully electric and plug-in hybrid powertrains are unified under the Recharge brand. Like the XC40 Recharge, the C40 will integrate Google’s Android operating system for its infotainment system and support over-the-air software updates.

Image Credits: Screenshot/Volvo

Technical Specifications of the C40 Recharge

CTO Henrik Green highlighted the C40 as a vehicle of innovation and a glimpse into the future. It will be equipped with dual motors, a 78 kilowatt-hour battery, and an anticipated range of 420 km (260 miles). This range is projected to improve through ongoing software enhancements.

Production of the C40 is scheduled to begin this fall, alongside the XC40 Recharge, at Volvo Cars’ manufacturing facility in Ghent, Belgium.

Sales and Electrification Goals

Volvo, currently owned by Geely Holdings of China, intends to have 50% of its global sales comprised of fully electric cars, with the remainder being hybrid vehicles. The ultimate goal is for 100% of its sales to be fully electric by 2030.

Samuelsson noted that last year, one in three Volvo vehicles sold in Europe was a Recharge model – a chargeable plug-in hybrid – demonstrating significant progress towards these electrification targets.

Beyond the Powertrain: A Holistic Transformation

Volvo’s evolution extends beyond simply changing the powertrain.

Samuelsson emphasized that the future customer experience must encompass more than just an electric car. He stated the importance of listening to consumer expectations for transparency and a streamlined process for acquiring and maintaining a vehicle.

Direct Online Sales Model

Volvo will exclusively sell its all-electric vehicles online at fixed prices. Customers will have the option to subscribe to or purchase vehicles, accompanied by a comprehensive customer care package.

To expedite delivery, vehicles will be offered with pre-selected configurations, reducing the lead time between order placement and vehicle receipt.

Industry Trend Towards Electrification

Volvo’s commitment to an all-electric future aligns with a growing trend among automakers, including GM and Jaguar. GM recently pledged to sell only electric vehicles by 2035 and achieve carbon neutrality globally by 2040.

GM announced in November a $27 billion investment over the next five years in electric vehicle and automated technology development. This represents a 35% increase in investment compared to gasoline and diesel technologies, aimed at accelerating product launches.