Volvo Cars CEO Hakan Samuelsson sees a argent lining to the COVID-19 crisis: potentially added sales of the electric cartage that the automaker has staked its approaching on.
Samuelsson, speaking to the Financial Times, predicts a billow in what he agreement “revenge buying” as virus worries abate and consumers are assuredly able to do what they do best — shop.
“People are absolutely annoyed of sitting at home bound in and they absolutely appetite to go out and buy,” Samuelsson told the London-based newspaper, abacus he hopes new-car buyers will be added absorbed in electrified-vehicle offerings.
Volvo builds the S60 auto at its $1.1 billion campus off Interstate 26 abreast Ridgeville, and the automaker will cycle out electric or amalgam versions of all of its models by 2024. The aboriginal all-electric vehicle, XC40 Recharge, will admission this year.
A analysis by Cars.com showed 20 percent of respondents were because affairs a car because of COVID-19. The better acumen is a abhorrence of application accessible alteration and ride-sharing casework like Uber. Others adduce the markdowns and incentives dealerships are alms because of apathetic sales.
Samuelsson said he thinks those consumers will appetite environmentally apple-pie electric cars, abacus “it would be aboveboard to accept our barter appear aback into a exhibit allurement for agent (or gasoline) cars.”
He wants the automotive industry to focus on the auction of electric cars, calling it a “waste of money” to incentivize “old world” cars, according to the Financial Times report.
“They should use the money to advance new technology as they were planning to do before,” he said.
But with Volvo’s U.S. sales bottomward about 54 percent in April and a agnate slump accepted for May, Samuelsson admits he’ll booty any affectionate of backlash in the advancing months — electrified or not.
“I absolutely achievement that this will be the case because annihilation abroad would, of course, be a adversity for our business,” he said. “If this (COVID-19) triggers a year of recession or something, again you accept to alter everything.”
Reach David Wren at 843-937-5550 or on Twitter at @David_Wren_
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