Volvo to End Diesel Production by 2024, Focusing on Electric Vehicles
Volvo, the Swedish car manufacturer, has announced that it will cease production of diesel-engined cars by early 2024. This move is part of Volvo’s ambitious plan to become an electric-only brand by 2030. The company has already removed diesel models from its UK line-up and will now stop offering them in other markets as well. Volvo’s decision to completely ditch diesel makes it the first major legacy manufacturer to take this step.
The decline in diesel sales in Europe, driven by changing customer preferences and concerns about climate change and nitrogen oxide emissions, has played a significant role in Volvo’s decision. In 2019, when Volvo launched its first electric vehicle, the XC40 Recharge, the majority of its models sold in Europe were still powered by diesel. However, the company has since witnessed a significant shift in customer demand towards electric vehicles.
Jim Rowan, the CEO of Volvo, emphasized the importance of electric powertrains for the company’s future. He stated that Volvo is fully committed to creating a broad portfolio of premium, fully electric cars that meet the expectations of its customers. The company aims to launch the EX30 and EX90 electric-only SUVs in the coming months as part of its transition to becoming an electric-only brand.
Volvo’s decision to end diesel production aligns with its broader goal of becoming a climate-neutral company by 2040. The company has already taken significant steps towards achieving this goal, including selling its stake in Aurobay, a joint venture focused on combustion engine development. Volvo has also pledged not to allocate any budget for the development of new combustion engines.
The announcement was made at Climate Week NYC in New York, where Volvo emphasized the need for leadership from both industry and political leaders in combating climate change. Jim Rowan called for meaningful policies and actions to address the critical challenges facing our planet and humanity.
In addition to ending diesel production, Volvo has recently streamlined its product lineup by discontinuing saloon and estate models in the UK. The company is now focusing on its higher-selling SUV range, which includes popular models like the XC40, XC60, and XC90.
Volvo’s transition to an electric-only brand reflects the growing trend in the automotive industry. Many major manufacturers are investing heavily in electric vehicle technology as they recognize the importance of sustainability and reducing carbon emissions. By phasing out diesel production and embracing electric vehicles, Volvo is positioning itself as a leader in the industry’s shift towards a greener future.
As Volvo continues its electric reinvention, it is evident that the company is committed to driving change and setting an example for others to follow. With its ambitious plans for an electric-only lineup and climate-neutral operations, Volvo is demonstrating its dedication to sustainability and environmental responsibility. As consumers increasingly prioritize eco-friendly options, Volvo’s decision to end diesel production and focus on electric vehicles is a strategic move that positions the company for long-term success in a rapidly evolving industry.
In conclusion, Volvo’s announcement to end diesel production by 2024 marks a significant milestone in its journey towards becoming an electric-only brand. By aligning with changing customer preferences and prioritizing sustainability, Volvo is taking a leadership role in the automotive industry’s transition to a greener future. With its commitment to electric powertrains and climate-neutral operations, Volvo is setting an example for other manufacturers and demonstrating its dedication to creating a more sustainable world.