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Daily Newsletter

31 October 2023

Daily Newsletter

31 October 2023

Volvo Cars to build EX30 in Ghent from 2025

The move adds European production of the EX30 from 2025 - it is already made in China

Dani Cole October 31 2023

Geely-owned Volvo Cars will build the new fully electric Volvo EX30 in its Ghent plant, Belgium from 2025.

Production of the EX30 started earlier this year in Zhangjiakou, China.

The first cars are scheduled to reach customers later this year.

Building the small SUV in Ghent will expand production, the automaker says.

Jim Rowan, Volvo Cars’ Chief Executive said: “Adding production in Ghent is a logical move as we aim to capture the strong demand for our exciting small electric SUV across the globe.”

Joining the XC40 and C40 models on the Ghent production line, the EX30 is the third fully electric Volvo model to be produced in Europe.

“Our ambition is to sell the EX30 around the world at an attractive price point, easing the transition to driving an electric Volvo car for more people while also contributing to company margins,” Mr Rowan continued.

Volvo plans to sell only fully electric cars by 2030.

High upfront costs could be detrimental towards the growth of the off-highway EV market

The global off-highway electric market is expected to grow at a CAGR of 17.4% by 2030, per GlobalData. Despite the strong growth, high upfront costs may pose a challenge. Due to the high capacity of these vehicles, they consume large amounts of power from a number of battery packs installed on the vehicle, whose high cost in turn adds to the cost of the vehicle, thereby increasing the initial cost. However, governments worldwide are offering subsidies and tax exemptions in order to help customers to counter the initial purchase cost.

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