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Volvo blames EU tariffs as it lowers its 2024 sales forecast

STOCKHOLM — Volvo Cars cut its full-year retail sales forecast on Thursday, blaming European tariffs on EVs made in China that will hit one of the Swedish automaker's key electric models until it shifts production to Belgium. While reporting better than expected second-quarter results that sent its shares up 6% in morning trade, Volvo lowered its forecast for sales growth this year to 12%-15%, down from 15%. "It's really driven by tariffs," CEO Jim Rowan told Reuters. "It's a short-term issue for us, but it is an issue and we're just going to have to deal with that." Rowan said that while Volvo still hoped for 15% growth, it was now providing a range given the uncertainty. "We wanted to put a floor on that for the markets to say we're still going to grow but there are some headwinds," he said. Earlier this month, the EU announced provisional tariffs of up to 37.6% on imports of EVs made in China, saying they benefited from unfair subsidies — an allegation Beijing rejects. Volvo is majority-owned by China's Geely and faces a 19.9% tariff on its Chinese-made fully-electric EX30. Rowan said the Swedish automaker faced a "minimum of six months" of tariffs until it moves EX30 production to Belgium, which is expected to start early next year. Volvo said the main ramp-up of EX30 production at its factory in Ghent was expected during the second half of 2025. Bernstein analysts said in a note that the new sales guidance was "sensible given todayÂ’s macroeconomic situation." Major automakers have seen slowing demand for EVs, driven in part by a lack of affordable models and the slow rollout of charging points. Meanwhile, U.S. and European automakers have reported strong sales of hybrids, and are rolling out more such models to meet demand. Volvo said it saw a "modest decline" in orders for fully electric models in the second quarter, but noted "demand for hybrid cars remains very strong". "We will continue to invest in this line-up and these cars form a solid bridge for our customers not yet ready to move to full electrification," Rowan told analysts in a conference call. Volvo produced 211,900 cars in the second quarter, more than it sold amid the decline in European demand for EVs. Its operating income, which includes its stake in loss-making Polestar, rose to 8 billion crowns ($758 million) from 5 billion crowns a year earlier. That topped the 6.7 billion crowns expected by analysts, LSEG data showed.

2025 Volvo EX90 enters production after being delayed last year

After a delay of about eight months, Volvo's Ridgeville, South Carolina plant is now assembling the EX90 battery-electric SUV. Volvo's original plan was to get its new flagship in production toward the end of 2023 so that dealers might have models in showrooms early this year. There's also the reservation list, which filled so quickly that Volvo shut it down sooner than anticipated. However, after the car's November 2022 reveal, Volvo engineers confronted unexpected complexities with its software stack. In May 2023, the automaker officially delayed the start of production until the first half of this year. Part of the complexity was the brain in Volvo's EV push, the new VolvoCars.OS software platform running on a new "core computing" system developed with Nvidia and using the tech company's Drive Orin chips — the same chips Rivian uses for its new, streamlined electrical architecture in the Gen 2 R1 models. In Volvo's words, the core computing system "is made up of three main computers. These support each other in operating vision processing and artificial intelligence, general computing and infotainment respectively," this fundamental change in vehicle brain layout allowing the automaker "to gradually separate hardware from software. This means the company can introduce more frequent hardware cycles, so that new Volvo models can be equipped with the latest available hardware." Rowan said he believes the delay will ease the path for what's coming; the code written for the EX90 will see use elsewhere in the lineup, what the coders learning during this hiccup serving the automaker all the way through to an eventual transition to the Global Product Architecture that will succeed the EX90's SPA2 architecture. Back to the South Carolina plant, the first customer car off the line, done up in Denim Blue, will be delivered later this year. The plant's got more good news as well from the other vehicle it builds, the S60 sedan, with year-to-date sales up 255% compared to 2023. Related video: 2024 Volvo EX90 exterior and interior walkaround review

2015 Volvo Inscription models get classy with an upgraded leather interior

If Volvo's recent spate of cool-looking concepts is any indication, the Swedish brand has some great new styling on the way. But it takes time for new vehicles to come to market. In the meantime, Volvo is livening up some of its interiors with an updated Inscription Package on the 2015 XC60 (pictured above) and S80 debuting at the 2014 New York Auto Show.
The Inscription models see mostly interior improvements with Sovereign Hide leather covering the seats and more leather for the instrument panels, seatbacks, center armrests and embroidered headrests. Inlaid wood acts as decorative trim, and there are plush, new floor mats. Exterior changes are limited to the choice of colors, namely Crystal White Pearl, Electric Silver and - exclusively for the S80 - Ember Black. The XC60 Inscription comes with 20-inch, ten-spoke wheels, and the S80 receives 19-inch versions.
The package's changes are fairly small, but it adds a certain amount of opulence to the models until the new Volvos are ready. Scroll down to read the full details about them.