The Volvo XC40 EV was one of the hottest cars last year with demand outstripping supply. It received Drive Car of the Year prize in the small luxury SUV segment in 2021 after winning it for the first time in 2020.
The accolades were supported by strong sales and Volvo Australia ended 2021 with a new sales record in Australia which made it the fastest growing luxury car brand. So far in 2022, Volvo sales are heading towards another record with an 11.6% increase YTD to October.
So the recent announcement by Volvo Car Australia that from 2026, it will only sell fully electric cars in Australia (four years earlier than the parent company’s 2030 global target) has been well received in a market craving more EVs than the world is willing to send us.
“Globally, Volvo is firmly committed to becoming an electric-only carmaker by 2030, but in Australia we will make the transition happen by 2026,” said Stephen Connor, Managing Director of Volvo Car Australia.
“The earlier deadline will allow us to meet the expectations of our Australian customers and be a part of the solution when it comes to fighting climate change. Sustainability is now as important as safety to us, with climate action having the highest priority.
“Volvo Cars has one of the most ambitious climate plans in the car industry which involves consistently reducing the life cycle carbon footprint per car through concrete action.
“Australian consumers are early adopters of new technologies, and they are embracing fully electric cars in increasing numbers as part of a practical response to combatting climate change.
“There is no long-term future for cars with an internal combustion engine. So, instead of investing in a shrinking business, we choose to invest in the future, which is fully electric.”
Mr Connor said by 2025 nearly 80 per cent of Volvo’s Australian sales will comprise fully of electric models.
“The decision to sell only electric cars from 2026 makes perfect sense, and we believe it will give us a strategic advantage in the Australian market. The final piece of the jigsaw will be converting the last 20 per cent of our customers to a fully electric future from 2026.
“I am very confident we can achieve this, and even go beyond to achieve our aspiration of selling 20,000 fully electric cars every year in Australia.”
Volvo also launched the C40 Recharge Pure Electric in November, the first dedicated electric only vehicle model for the Australian market. It is also the first Volvo to be completely leather-free.
