DAVOS, Switzerland — Volvo Automobiles stays assured of “tremendous growth” within the electrical autos market, CEO Jim Rowan instructed the Reuters International Markets Discussion board in Davos on Wednesday, countering gloomier projections from rivals.
The carmaker, which goals for electrical autos (EVs) to contribute half its gross sales quantity by mid-decade and to promote solely EVs by 2030, stated the expansion in demand for its premium model was stronger than that of mass-market rivals.
“We have much more pricing power and people have got more disposable income so they can afford it if they want to drive an EV,” Rowan stated.
The Volvo Automobiles CEO stated that, in distinction to others, he noticed good development globally for electrical automobiles, with explicit sturdy demand in Europe.
Over the previous yr, many automakers have warned that the anticipated development of EVs has been gradual to emerge resulting from poor demand, heavy worth cuts, decrease subsidies, and provide chain points.
Volvo has beforehand stated that it has no intention of collaborating within the Tesla-ignited worth warfare resulting from its place as a premium model and noticed good margins on its electrical automobiles.
Greater prices attributable to disruptions on delivery within the Pink Sea would additionally not have an effect on clients, the CEO stated, who said that any extra prices could be absorbed by Volvo.
Final week, Volvo stated it could halt manufacturing at its manufacturing facility in Belgium for 3 days because of a supply of gearboxes being delayed as a result of disruption.
The CEO additionally instructed Reuters that he had excessive ambitions for India within the subsequent 5 years with plans to launch the extra reasonably priced EX30 there in 2025.
