Volvo's EX30, the automaker's cheapest electric vehicle model, will now be delivered later for US consumers. Deliveries were initially expected in late 2024 but are now targeted for 2025.
According to Volvo, the statement results from shifts in the global automotive scene, which coincide with an increase in EX30 production for the US market in Belgium. Volvo's newest electric vehicle, the EX30, became a best-seller in Europe when production began in China last autumn.
Volvo almost outsold the EX40 (17,400) in the first quarter of 2024, selling 14,500 EX30 units worldwide. Volvo has notified reservation holders and merchants about the delay in the EX30, stating that the new target delivery date is 2025.
The EU disclosed additional taxes on Chinese electric vehicle imports, including those from Geely, Volvo's parent company, earlier this month.
Volvo on EU Tariffs
Bjorn Annwall, Volvo's deputy CEO, expressed disapproval of the move, stating that the company is committed to fair and free commerce and that anything that impedes that is "not a good thing."
Due to the EU tariffs, Volvo then decided to relocate the production of several of its electric vehicle models from China to Belgium. According to reports, the massive car manufacturer is shifting the production of its EX30 and EX90 vehicles from China to Belgium. Sources say the carmaker may also move the production of certain models destined for the UK to Belgium.
Annwall speculated that Belgium may be the source of the EX30 headed for the US. In response to demand, Volvo has previously stated that it will produce the EX30 in Ghent, Belgium, but not until 2025 when it will start shipping to the US.
Inexpensive EV Dominance
Right now, affordable electric cars are all the rage, and many large automakers have already acknowledged that consumers prefer inexpensive EVs. Notably, Ford CEO Jim Farley stated that the company wants to create and market more reasonably priced electric cars, adding that their next generation of EVs would be profitable and accessible.
According to Farley, Ford's upcoming array of electric vehicles will rival the best on the market. Ford is trying to replicate some of the success on US soil, and China's strategic bet on electric cars has "paid off so far," according to an interview.
Farley revealed earlier this year that Ford was "secretly" working on a smaller EV architecture to accommodate more affordable vehicles. Furthermore, Ford prioritizes smaller EV cars over larger three-row electric SUVs.
Farley claims that to create the new platform, Ford put together a small Skunkworks team that included some of the best EV engineers in the world. The team reportedly includes many Tesla and Apple employees.
According to Farley, the company's engineering approach is completely different, which may lead to a more reasonably priced product with a smaller battery and distinct chemistry.
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