Volvo To Produce Only Electric Vehicles By 2030

Chinese-owned Swedish automaker Volvo said Tuesday it will produce only electric vehicles by 2030 and sell them all exclusively online. Volvo is among a growing crop of companies planning to ditch fossil fuel vehicles in the next few years, as demand for zero-emission cars rises and governments put pressure on firms to cut pollution. Indian-owned Jaguar said last month it would produce only electric vehicles from 2025, while US auto giant Ford said it would aim to have an all-electric fleet in Europe by 2030.

“The company intends to only sell fully electric cars and phase out any car in its global portfolio with an internal combustion engine, including hybrids,” Volvo said in a statement. The company said half of its cars should be electric in 2025, with online sales accounting for half of its volume.

China’s Geely Holding bought a struggling Volvo Cars in 2010 from Ford and has since helped it enjoy a renaissance as a maker of high-quality vehicles. However, last month Geely Auto said it would not go ahead with a planned merger with Volvo but the two companies would instead reinforce their collaboration on electric vehicles. Volvo is due later Tuesday to unveil its second all-electric vehicle, a C40 SUV, and is readying a smaller model especially suited for European road conditions.

The company says its move to online sales will provide more transparency on pricing and options for its customers. “If you ask people it is quite a big irritation that you don’t have a clear picture of the price,” company boss Hakan Samuelsson said.