Volvo Cars announced at Auto Shanghai that its first fully-electric vehicle will be built in China, which really comes as no surprise since the company is owned by China’s Geely, although the latter usually ships kits to its global markets for local assembly.
The car is also important to the market because China leads the world in electrified vehicle sales, and has ambitious targets to expand sales of fully electric and hybrid cars in order to address the well documented congestion and air-quality issues in its cities.
“Volvo Cars fully supports the Chinese government’s call for cleaner air as outlined in the latest five-year plan. It is fully in-line with our own core values of environmental care, quality and safety,” said Håkan Samuelsson, chief executive of Volvo Cars. “We believe that electrification is the answer to sustainable mobility.”
Volvo’s first all-electric car will be based on Volvo’s small-car Compact Modular Architecture (CMA), and will reportedly be available in 2019, exported from China. The Swedish company also has another fully-electric car in development, based on its Scalable Product Architecture (SPA), and has committed to offer a hybrid of every model in its line-up as it works toward a goal of selling one million electrified cars by 2025 (a mix of full electric and hybrids).
Volvo currently has three manufacturing facilities in China — Daqing, which makes 90-series cars; Chengdu (60-series cars) and Luqiao (40 series cars).