Volvo Cars, a Swedish automaker, will postpone manufacturing of its new Volvo EX90 vehicle to develop and test software. The verdict dropped firm shares by 5%. The completely electric SUV will enter production in the first half of 2024, the business said on Thursday.
Late this year, Volvo announced the EX90, which it expects to launch in early 2024. Software development and testing have delayed manufacturing. Volvo Cars wouldn’t say when the car will hit dealerships.
Volvo Cars, majority-owned by Geely, is increasing its electric car lineup. The corporation wants 50% of worldwide sales to be electrified automobiles by 2025. This proposal relies on Volvo’s first completely electric SUV, the EX90.
Volvo has postponed the XC90’s release.
The car industry regularly delays manufacturing to ensure safety and performance criteria are met. The delay has worried investors, causing Volvo Cars’ shares to fall.
Despite the delay, industry analysts and customers have praised the Volvo EX90. The car has a 300-mile range and superior safety systems. Customers’ “tremendous reception” closed the model’s order book early this year.
The Tesla Model X and Audi e-tron will compete with the Volvo EX90. The model is ready to disrupt the electric car market with its elegant look and superior technologies.
In conclusion, while the Volvo EX90 production delay may disappoint some, the business is devoted to safety and performance. Volvo Cars needs the model to grow its electric car lineup, and it is expected to make a big influence on the market.