Following the trend of other automotive manufacturers, Volvo has adjusted its previous commitment to exclusively selling electric vehicles by 2030.
During the launch event for the 2025.5 XC90 in Sweden on Wednesday, the company revised its electrification goals. Volvo now targets having 90-100% of its sales be electrified by 2030, clarifying that this includes vehicles with a plug as opposed to just mild-hybrid options.
The company allows for up to 10% of its sales to consist of “a limited number of mild hybrids if necessary,” as stated by Volvo.
By 2025, Volvo anticipates that 50-60% of its sales will be electrified.
The automaker also mentioned that it currently has five electric models in development, in addition to the electric and plug-in hybrid options already on the market.
Volvo is in the process of launching the EX90 in the U.S., has just introduced the 2025.5 XC90 plug-in hybrid, and has provided a glimpse of the forthcoming electric ES90 sedan.
While development of plug-in hybrid and mild hybrid vehicles will continue, Volvo did not disclose how many models are currently being worked on.
A Volvo dealer, who wished to remain anonymous, previously told Automotive News Europe in July, “We will have to (sell plug-in hybrids), or we die.”
A recent report from Bloomberg suggested that plug-in hybrids are projected to reach a peak of 10% of global new car sales by 2030.
Volvo cited the slow development of charging infrastructure as a primary reason for its shift in strategy. The company also pointed to the withdrawal of government incentives in some regions and emphasized the necessity for “stronger and more stable government policies to support the transition to electrification.”
Additionally, Volvo stated its commitment to achieving net zero greenhouse gas emissions by 2040.
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