Following EX60, this new electric vehicle will become Volvo's second model built on the SPA3 platform, positioned as a smaller and more affordable option.
Volvo will enter the lower-priced electric vehicle market in 2027
As part of Volvo's largest product offensive to date, the company plans to launch 13 new vehicles by the end of 2030.
All new vehicle models will be customized for different markets, including the United States, Europe, and China. Volvo announced during its third-quarter financial report on Friday that it will launch three of these new cars in 2027.
One of the new models is targeted at the European market, while the other two will be launched in the Chinese market (the situation for the American market will be discussed later).
Following EX60, Volvo will launch its second all-electric vehicle based on the SPA3 platform. Volvo states that EX60 has been "very successful," with over 50,000 orders already received in Europe to date.
According to Volvo, this new model is a “global BEV model, targeting a larger and less expensive segment of the market in Europe.” The delivery of the first batch of customers is expected to begin after next summer.
The company has not disclosed any further details, but there are speculations that this new car could be the successor to the current EX40.
The SPA3 platform can cover a variety of vehicle models, ranging from sedans to compact SUV like the EX30, to three-row EX90. Since this new car is targeted at the mass market, the new electric vehicle based on the SPA3 platform is likely to be a SUV.
Will Volvo bring this lower-priced electric vehicle to the US market? On one hand, the company refers to it as a “global BEV model,” while on the other hand, it indicates that its target market is the lower-priced segment in Europe.
According to The Verge, Volvo Cars USA President Luis Rezende stated during a media roundtable earlier this year that the company is preparing to launch a new electric vehicle in 2027, which will replace EX30 and become the new entry-level electric vehicle.
Volvo initially stated that the low-cost single-motor version EX30 would be launched in the United States by the end of 2025, with a starting price of $34,950. However, they later changed their plans and completely removed this electric model SUV from their product lineup.
Although the price of the new car may not be as low as the entry-level model, which costs $35,000, Rezende indicates that the price will be “very close” to that amount.
According to "American Automobile News," Volvo will launch this new all-electric crossover SUV by the end of 2027, with a starting price of less than $50,000.
This new entry-level model is expected to be launched under the name of EX50. It will have a higher and longer body than the current EX40 model.
Volvo submitted an application for the EX50 trademark to the European Union Intellectual Property Office in July. Although not many details were disclosed in the application, it was confirmed that this will be an electric vehicle.
At the same time, Volvo is accelerating the launch of the first long-range plug-in hybrid versions of XC90 and XC60. The first deliveries to customers will begin in Europe this year, followed by a market entry into the United States shortly thereafter.
Volvo stated that in the first quarter of 2027, it will begin production of XC60 in Charleston. By the end of 2030, the company also plans to start producing "a second completely new vehicle model and offer a variety of powertrain options."
