The US is Volvo Cars' second largest market. Although the company has a factory in Charleston, South Carolina, there are significant exports from Europe to the US.
This also means that President Trump's threat of increased tariffs now theoretically poses another risk for the company, which has struggled with a number of challenges in recent years. Volvo Cars CEO Håkan Samuelsson, however, plays down the threat:
"Let's wait and see on that. From what I understand, tariffs are not imposed via Truth Social posts without executive orders or congressional action," he says, taking a swipe at Trump.
Withdrawn
During his term in office, Trump repeatedly made statements that he later retracted, something that even gave rise to the term "Taco" - "Trump always chickens out" (loosely translated).
At the same time, the Swedish Board of Commerce, among others, has highlighted the automotive sector as one of the industries that would be hit hardest in Sweden if Trump's tariff threats become a reality.
"Even if it were to happen, it probably wouldn't affect anything more than the price level in the US for imported cars. It wouldn't affect anything we plan to do," says Samuelsson.
“Completely different”
Samuelsson led the vehicle manufacturer for a decade before leaving the CEO position in 2022, only to make a comeback last year.
When asked how the 74-year-old views the way former business leader Trump is now acting, he says:
"It's a completely different leadership style than any other politician. He expresses himself in a completely different way. If you're going to find something positive in that, it's that Europe is getting angry and finally realizing that it has to tighten up. If we're going to make Europe competitive, maybe we'll have to come up with something new."
For Volvo, that's exactly what's happening. On Wednesday, the carmaker's new model, the EX60, was unveiled to the world. A fully electric five-seater SUV that is set to compete, among other things, with a range of 810 kilometers. The model is aimed at European and American buyers, but not at the world's largest electric car market - China - at least not initially. This is due to differences in software.
"I don't rule out that we will have this in China too, but it hasn't been decided yet," says Samuelsson.
Tobias Österberg/TT
Facts: Volvo's new model EX60
TT
Volvo is now launching its new model, the EX60, a mid-range all-electric SUV.
The EX60 should be able to drive 810 kilometers in four-wheel drive. At the same time, it should be possible to charge up to 340 kilometers of range in ten minutes when fast charging.
The EX60 is also the first Volvo model to be launched with Gemini, Google's AI assistant.
The introductory price on the Swedish market has been set from 699,000 kronor to 889,000 kronor, depending on the powertrain. The variant with the shortest range should be able to drive 620 kilometers.
