Volvo Cars is joining a growing list of premium carmakers who plan to phase out fossil fuel engines by the end of the decade by going all electric. This means that the company will also phase out all of its hybrid cars and will sell only pure electric models.
The carmaker's 2030 ambition comes as it accelerates its electrification strategy, driven by strong demand for its electrified cars in recent years and a firm conviction that the auto market for combustion engine vehicles is shrinking. “To remain successful, we need profitable growth. So instead of investing in a shrinking business, we choose to invest in the future – electric and online," said the company's CEO Håkan Samuelsson.
(Also read | Volvo rolls out first ever over-the-air software update on XC40 Recharge)
Its electrification motive comes together with an increased focus on digital sales -under 'Care by Volvo' - that offers a more complete and transparent interface for customers. All of the company's electric models will be available online only. “We are fully focused on becoming a leader in the fast-growing premium electric segment," said Samuelsson.
Volvo first fully electric car, the XC40 Recharge, was launched in global markets last year. It is bound to come to the Indian market later this year. Volvo is also set to reveal its second fully electric car - a new model in its 40 Series. Expect the company to roll out several additional electric models in the times to come as it aims for 50% of its global sales to be fully electric cars by 2025, with the rest hybrids. And all of its cars to be pure electric models by 2030. “We are firmly committed to becoming an electric-only car maker and the transition should happen by 2030," said Henrik Green, chief technology officer.
Volvo says that its transition towards becoming a fully electric car maker is part of its ambitious climate plan. It seeks to continuously reduce the life cycle carbon footprint per car through its actions. It further plans to ease the transition to electric models by building accessible high quality charging infrastructure.