“Given market developments such as import tariffs in the US, development and launch delays for the EX90 and strategic investment prioritizations, we have reassessed volume assumptions for these two cars. This has resulted in a lower than planned lifecycle profitability,” said Fredrik Hansson, CFO at Volvo Cars.

Volvo Cars claimed it continues to invest in its next-generation dedicated electric car architecture and software capabilities. “These will underpin several upcoming high-volume programs, including the all-electric Volvo EX60, which is on track and will be launched and start production in 2026.”