- Volvo CEO says mild and plug-in hybrids are a bridge technology to electric vehicles
- Volvo will continue to invest in plug-in hybrids despite planning an all-electric lineup
- Dealers told Volvo needs to sell PHEVs or the automaker would die
Volvo promised sell exclusively electric vehicles until 2030, but slower-than-expected demand could cause the automaker to continue offering gasoline-powered vehicles beyond that date.
Automotive news (subscription required) reported Thursday that Volvo CEO Jim Rowan, in announcing the latest quarter’s financial results, acknowledged that 48-volt mild hybrids and plug-in hybrids are ideal bridge technology for customers who aren’t ready to make the switch to an EV, and that Volvo will continue to invest in the technology. Volvo doesn’t sell a traditional gas-powered hybrid, but one supplemented by a battery and electric motor system without a plug in the U.S.
Automotive News also reported that Volvo will focus on selling plug-in hybrids alongside EVs over the next decade, citing a source familiar with the automaker’s plans. The plug-in hybrids could be based on an updated version of the SPA platform that underpins popular Volvo models such as the XC60 and XC90, the source said.
Volvo’s parent company Geely earlier this year teamed up with Renault Group to form the Horse Powertrain joint venture, which aims to develop and market next-generation engines and hybrid technology. Volvo could also potentially turn to the company for those components it is no longer investing in itself.
Volvo XC60 Black Edition 2024
Volvo dealers also expect to continue selling plug-in hybrids beyond 2030according to Automotive.
“We will have to do this, or we will die” a dealer source told the publication. “Volvo has gone way beyond this EV-only strategy.”
Volvo wouldn’t be alone in backtracking on its Commitment to electric vehiclesMercedes-Benz said in February that it now expects to sell gas-powered cars after 2030, whereas it previously thought it would be an all-electric brand by then. Similarly, Cadillac, which also had targeted an all-electric lineup by 2030, said in May that it would likely still sell gas-powered cars after that date.
Porsche also released comments this week that is no longer a target Electric vehicle sales will reach 80% of total sales by 2030. The automaker also confirmed that its best-selling Cayenne still be available with petrol engines and plug-in hybrids in the next decade, despite the launch of an electric Cayenne in the next year or two.