Volvo has special plan for electric vehicles in India, expects surge in demand to continue

Volvo Cars India is firmly determined to be active in the electric vehicle (EV) game and sees a clear potential for its products to resonate with potential buyers. Given the strong demand for the XC40 Recharge launched last year, Volvo expects the acceptance and adoption of electric vehicles to only increase in the coming years.

The Volvo C40 Recharge EV is based on the CMA platform, much like the XC40 Recharge SUV or Polestar 2.

Volvo, whose global vision is to become an all-electric car company by 2030, is poised to play a niche game even as most of its rivals in the luxury car segment continue to — and — stick with petrol and diesel engines. So while Mercedes and BMW have diverse product lines covering gasoline, diesel and electric powertrains, Audi has a portfolio spanning gasoline engines and all-electric vehicles. Volvo, on the other hand, offers mild gasoline-hybrid technology and the XC40 Recharge. On Tuesday, the company confirmed it will launch the C40 Recharge coupe-style SUV in the fourth quarter of 2023, thereby doubling its electrified portfolio to two. “India is a key market for us and is now the third largest in the world. Demand for our vehicles has been on the rise and will continue to grow in the coming years,” said Nick Connor, head of Volvo Cars Asia Pacific. . The strong response to the XC40 Recharge shows us that the shift to EVs has really begun. “here.”

Volvo’s strategy in the Indian market is simple – emphasizing sustainability as an area of ​​focus while continuing to emphasize its tried and tested safety priority. “About 70% of Volvo buyers in India are between the ages of 24 and 40. The awareness level is strong, and while safety is in our DNA, at our core, we now also want to emphasize sustainability,” Volvo Cars India says Jyoti Malhotra, MD, the company.

Nick Connor, Head of Volvo Cars Asia Pacific (left) and Jyoti Malhotra, Managing Director, Volvo Cars India.

Nick Connor, Head of Volvo Cars Asia Pacific (left) and Jyoti Malhotra, Managing Director, Volvo Cars India.

The XC40 Recharge comes to India via the CBU or Completely Knocked Down route, meaning all components are assembled here, which could help Volvo’s case against many of its rivals. This has significant tax benefits compared to fully imported units or SKD or semi-assembled units. The upcoming Volvo C40 Recharge will follow the same route, which the company is confident will help it fend off rivals that will have to import all their equipment.

But both Malhotra and Connor went on to stress that, at least for now, there won’t be any headway on mild-hybrid models. The company currently offers the XC40, XC60, XC90 and S90 in the Indian market.

First published date: Feb 14, 2023 at 15:30 PM CST

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