Volvo to go all BEV in Oz from 2026

VOLVO Car Australia has this week announced that it will sell only battery electric vehicles (BEVs) by 2026, beating its global parent company to the all-electric punch by a full four years.

 

With the company recently releasing the first of five new BEV models to arrive before 2026, and with production guarantees set to secure 20,000 units annually within four years, Volvo Car Australia managing director Stephen Connor said the decision to go all-electric was one he feels makes sense.

 

“We are heading for full carbon neutrality by 2040, and we’re going to have a brand-new electric car every year for five years from now … And one of our global strategies is to be fully electric by 2030,” explained Mr Connor.

 

“But we (Volvo Car Australia) don’t have to wait for global to turn around and say, ‘there’s your strategy’. If we see an opportunity in our business to accelerate that change and go earlier, then we will.

 

“We’ve agreed on a local level in Australia that we’re not going to wait for 2030. We’re not going to wait for the global strategy to come out … We will be fully electric by 2026,” he said.

 

Mr Connor said he believed the timing was right for Volvo Car Australia and that customers were already outpacing moves to electric vehicles, even when considering the current lack of federal government incentives.

 

With Volvo cars locally nearing price parity with their ICE counterparts and moves in place by Volvo Car Australia to further support BEV customers through free vehicle charging and lounge-style waiting zones, Mr Connor said the move was the right thing to do.

 

“I really do think our customers are ready for this. Tesla will sell 20,000 cars this year ... The Australian consumer is now looking for change,” he said.

 

“The market will be really crowded by 2030, and I think the acceleration of change is happening so fast that if we wait until 2030, we will lose the march on our competitors – we will lose money.

 

“I think by ‘going’ in 2026 we will gain market share. We will get the early adopters. I think we will gain the march over our competitors. We will be the first brand in Australia that has converted to selling pure electric cars, and I think that is really going to be our point of difference in the future.

 

“We have the ability in Australia to make a difference, to bring about and make that change and bring carbon neutrality closer to us.”

 

Mr Connor said new models to Volvo Car Australia’s portfolio will include the recently launched C40 Recharge, forthcoming EX90 large SUV, and several others that will “replace core models” in the range.

 

He said that as well as offering the right vehicles for the local market, Volvo Car Australia would also move to ready its dealerships and customers for a motoring landscape he believes will change even more quickly than many expect.

 

“I genuinely believe that if more product were available today, that the consumer is ready for it. There’s more infrastructure coming in, and there’s growing support from governments, which is always welcome,” said Mr Connor.

 

“The thing we have to do is to educate our customers on this journey, and to educate our partners. We’ve got to help them with infrastructure, which is why we’re going to work very hard on operational implementation.

 

“We will make sure every one of our dealers has a fast charger that will be free to every customer. We’ll make sure the customer has a free coffee and a place to work or relax while the vehicle is plugged in, and by next year we’re hoping to announce some partnerships with third parties that will help support that.”

 

Boldy, Mr Connor said he was certain that production supply could move to match customer demand, predicting Volvo Car Australia would sell 20,000 units annually by 2026, giving it a two per cent slice of the Australian new car market.