Volvo, Betting on Electric, Moves to Phase Out Conventional Engines
Volvo’s battery-powered vehicles will be produced initially in China, but eventually also in Europe and at a new factory the company is building near Charleston, S.C. Hybrids, which combine battery power with gasoline or diesel engines, accounted for about 2 percent of passenger car sales in the United States last year, a number
that has been declining because gasoline prices have fallen.
Volvo said that China’s air pollution problems have prompted a more serious push toward cleaner automobiles.
By JACK EWINGJULY 5, 2017
Volvo Cars on Wednesday became the first mainstream automaker to sound the death knell of the internal combustion engine, saying
that all the models it introduces starting in 2019 will be either hybrids or powered solely by batteries.
Moreover, the persistence of low gasoline prices continues to push American buyers toward bigger vehicles — trucks
and S.U.V.s — and has made the fuel economy of electric or hybrid vehicles less potent as a selling point.
While Volvo’s strategy has risks, Mr. Samuelsson acknowledged, "a much bigger risk would be to stick with internal combustion engines." Though
based in Sweden, Volvo is owned by Geely Automobile Holdings of China, which already produces battery-powered cars for the Chinese market.
