The company Volvo Cars (Volvo Cars), known manufacturer of premium cars, introduced two new concepts in small cars, which marked a change of strategic direction of the Swedish brand.
Volvo has demonstrated a new concept vehicles Series 40, which plans to expand the huge and lucrative global market for small cars with vehicles that combine bold exterior and interior design with leading technology connectivity, electrification technology and autonomous driving.
The new vehicles will be manufactured at the new Volvo Concept Compact Modular Architecture (CMA), specially created for small vehicles, which allows free access by designers and engineers for bold new creative directions.
“Every product, a member of our family has its own special character, as well as members of the real family. CMA helped to capture something special, something youthful in our concept cars. They have energy, broke and urban character that sets them apart from the crowd. This is a small taste of Volvo cars coming, “said Thomas Ingenhalt, senior vice president of design at the company Volvo Car Group.
The strategy of producing small cars in Volvo is an essential element in the ongoing global operational and financial transformation. The Swedish company, currently implemented an ambitious plan for repositioning the brand in competition with its global competitors in the next four years.
The new range of small cars will consist of fully electric vehicles and “plug-in” hybrid versions (a variant) in accordance with the commitment of the company to complete the electrification of its portfolio. Volvo plans to sell up to a million electric vehicles by 2025 globally.
“By adopting a modular approach to vehicle architecture and engine development have success in the premium segment. Our new electric motors open another exciting chapter in the story of Volvo “, says Dr. Peter Mertens, Senior Vice President of Research and Development.
On top of a bold new exterior design and electric motors, the cars will also offer a range of innovative services connecting plus world’s most advanced security features and important Scandinavian interior design.
“The new series of 40 cars have the potential to improve our market penetration in a very important growing segment. The electric engine program, including a new plug in hybrid compact dual motor, and purely electric car, are central to our architecture CMA “, says Håkan Samuelsson, Chairman and Chief Executive Officer. He added that the first batch of 40 new cars will begin production in 2017.
The announcement of the new global small car strategy comes after a strong start to the year in terms of sales and profitability. The company in the first three months of this year announced increased revenues by 24 percent or SEK41.7 bn, generating surgery of SEK 3.1 bn and operating profit of 7.5 percent. Global sales in the first quarter of 2016 increased by 11.9 percent to 120,591 cars. Volvo, in the medium term ambition to sell 800,000 cars a year, after last year sold 503,000 pieces.