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Since it is struggling with low sales and an unconfirmed organizational environment, Volvo hopes to reorganize its wealth by repairing its electric car plans. A great part of that is a bet on hybrid-or more specifically, the range-range electric cars (EREV).
On a factory tour of Ridgeville, South Carolina, Volvo released a series of ads, including SUV EX90 updated With a computer from NVIDIA and the beginning of production on the XC60 that works with gas. But the most important of which was the news that the automobile company will begin the production of EREV, its name, which was specially developed for the American market.
At a round table with correspondents, the CEO of Volvo Håkan Samuelsson described it as “the second generation of the second generation”, with every speed and driving of a regular battery car, but with a good scale thanks to a small gas engine.
“Technology must be determined,” said Samuelson.
“It must decide technology, but it is an electric car with a more reserve engine than the first generation (hybrid), a combustion car with some batteries,” said Samuelson.
Erevs is mainly the hybrid component with a small internal combustion engine to recharge the EV battery for more range. They work as EVS, where electric motors drive wheels, and batteries that can be connected to EV. The gas generator aims to reduce any anxiety of the range that some customers may have about the full purchase of EV.
Many car manufacturers turn to EREVS, where imminent expiration of Federal tax credit is expected to decrease EV sales. Fordand ramand Hyundaiand AprilAnd Scout engines It is just some of the companies that it said intends to release EREVS in the near future.
Volvo is owned by Geely, a huge Chinese car manufacturer also produces a lot of hybrid, so the company hopes to use some of this internal knowledge to develop this new vehicle program.
“We are somewhat universal,” said Samuelson. “I have engineers on all continents to a large extent … most of them are in Sweden. So this will always be the center of gravity.”
But the car will be built in the United States, as with many car manufacturers at the present time – looking for ways to reduce the impact of President Donald Trump’s tariff in the final result. The company passed an approximate summer, as sales decreased every month thanks to the high prices and the low demand for EV. He even had to stop selling some of its models in the United States, because the customs tariff makes it very expensive.
As such, Volvo designs a new hybrid for the American market, with a focus on a “larger car” specifically for families, Samuelson said. This appears to indicate a SUV with three rows, such as XC90 or EX90. However, the Volvo design team still decides any type of car.
But once this decision is taken and EREV enters production, the South Carolina worker in Volvo will be a capacity. Volvo is installing its future, an increase of 50 percent over the next five years, which is based on an investment of $ 1.3 billion at its factory in Charleston, South Carolina. The auto manufacturer was planning to become EV-only by 2030and But I had to pushing it back to a contract until 2040 As a result of weak demand and the slow sales.
Samuelson said: “It will take longer than we thought five years ago, and for this reason we need to be pragmatic and have this type of ingredient solution or bridge,” said Samuelson.
With additional reports by Jennifer Patson Tuhi.