For August 2025, Geely-owned Volvo Cars has reported a decline in its global car sales, with figures reaching 48,029 vehicles, a 9% decrease from the same month in the previous year.
The company observed a significant reduction in the demand for fully electric vehicles (EVs), which dipped by 28% and contributed to 20% of the overall sales volume.
Electrified vehicle sales, including plug-in hybrids, also saw a drop of 17%, accounting for 43% of Volvo Cars total sales.
The company said that its most popular model for the month was the XC60, with sales reaching 17,366 units, an increase from the previous year.
This was followed by the XC40/EX40 at 9,404 units, though this represented a decrease from last year's sales, and the XC90 with sales of 7,246 units, also slightly down from the year before.
July's sales figures stood at 49,273 vehicles, a drop of 14%, indicating a continuing declining trend through August.
The second quarter (Q2) of 2025 proved challenging for Volvo Cars, with a substantial loss reflected in a group operating profit (EBIT) of Skr10.0bn ($1.02bn), a downturn from Skr8.0bn in Q2 of 2024.
The company also reported a substantial one-off non-cash impairment charge of Skr11.4bn ($1.19bn) for Q2, attributed to adjustments in the financial valuation of its EX90 and ES90 platforms.
Amidst these financial challenges, Volvo Cars has commenced the production of its new Volvo ES90, a fully electric vehicle for the European market.
The company has opened orders for the ES90 in various European regions, with deliveries expected to begin later in the year.
Plans are also in place to introduce the ES90 to select Asia Pacific markets soon.
The ES90, which was unveiled in March, features 800-volt technology, offering enhanced range and quicker charging times compared to previous electric models from Volvo Cars.
Last month, Volvo Cars showed the new long-range plug-in hybrid (PHEV) XC70. The vehicle is now available for pre-order in China (where it is made), with plans for a future release in Europe.
