Volvo begins production of electric XC40 SUV

Volvo has shown a clear intention of jumping on the electric bandwagon and while it has been known for some time now that the XC40 will be its first all-electric offering, the Swedish car maker - owned by China's Geely - has now officially kick-started production.

The XC40 EV is expected to give Volvo a firm foothold in the race for dominance in the now hotly contested space although several other established car makers are also gunning to close the gap with Tesla. Volvo XC40 will get a 78 kWh battery pack and is expected to have a range of 400 kilometres. The company has confirmed that the electric XC40 will hit 100 kmph in around 4.7 seconds and will have a controlled top speed of 180 kmph - a safety feature being added to all Volvo vehicles rolling off manufacturing lines.

Choosing XC40 as the its first all-electric offering makes sense because the small SUV enjoys a decent fan base and its regular form - with internal combusition engine - has found many takers in several markets. And while it is not clear how many units of XC40 EV will be manufactured at Volvo's facility in Belgium's Ghent, the car maker is looking at the product to make space for itself in the European and US markets.

Speculations suggest that the car could be priced at around $55,000 which means it may not really have a price advantage over Tesla but even still, the fact that Volvo is known for safety and comfort features could make XC40 EV a viable option.