Volvo to fully transition to electric vehicles by 2030
March 02, 2021
Volvo has announced that it will go fully electric by 2030 and the only place customers will be able to buy a Volvo will be online.
In line with the rising trend for car makers to address their impact on climate change, Volvo announced that it would cease selling fossil fuel powered cars by 2025 and transition fully to electric vehicles by 2030. By 2025, Volvo aims to make up 50% of its sales to be electric vehicles and the other half of its to be half hybrid vehicles. The electric vehicles will also only be sold online while dealers will still handle the last mile delivery, accessories, and service.
Volvo current had only one fully electric vehicle in the market, which is the XC40 Recharge. It has now unveiled another electric vehicle, the C40 Recharge, a small SUV. The new vehicle is similar to its predecessor but has a more tapered roofline and features a differentiated front headlights and "grille" area.
Volvo chief technology officer Henrik Green said that there is no long-term future for fossil fuel powered cars. Electric vehicles are expected to be eventually less costly to produce than fossil fuel powered cars due to reduced labour cost to assemble the fewer moving parts. He added that Volvo’s ambitious move aims to meet the expectations of the consumers and be a part of the solution to fighting climate change. Volvo’s strategy would be to invest heavily in online sales, streamline its product offerings and be transparent with prices.
Other carmakers in Europe have also stepped up their efforts in transitioning to providing electric vehicles as Europe has imposed heavy potential fines if they do not meet the aggressive targets to reduce greenhouse gas emissions from vehicles.
Volkswagen the German automaker announced an alliance with Ford back in 2019. This year tesla will also be building its first European factory outside of Berlin.