XC90

Make
Volvo
Segment
SUV

An all-new and fully electrified Volvo XC90 SUV is expected to debut in the near future; production is due to begin in South Carolina later this year. Volvo, as a whole, will go fully electric by 2030. But the current XC90, launched for the 2015 model year, was its third-best-selling model globally last year. So why should it be discontinued? The fact is, it won't be.

Automotive News Europe confirmed with Volvo CEO Hakan Samuelsson that the existing XC90 will stick around for at least a few more years, meaning the carmaker will soon sell two generations at the same time.

"That's an advantage of building the new one in Charleston [South Carolina]," Volvo CEO Hakan Samuelsson said. "Why should we close down the old one in Torslanda when you still have a market for hybrids, especially in America and China."

The current XC90 is built at Volvo's Torslanda factory in Sweden. In 2021, XC90 sales were up by an impressive 17 percent for a grand total of 108,231 units. It's appealing to customers because, in part, it's available with a plug-in hybrid powertrain that offers some electric-only driving. But very soon, the XC90 will lose its flagship SUV status once the EV-only Embla arrives. Instead of simply keeping the current XC90 as-is, Samuelsson confirmed it'll continue to be improved, meaning Volvo will continue investing money in it.

"We will even look into upgrading it so it looks a bit better," Samuelsson added. "But, technology-wise, we'll invest in the new generation of all-electric cars."

Earlier this month, Volvo announced a $1.1 billion investment in Torslanda, its oldest factory. The also popular XC60 is built there as well. This investment will partially go towards continued XC90 production and, more importantly, preparations for a new generation of EVs. This is vital towards the company's goal of achieving half of its global sales being battery-powered by 2025. Over the past two years alone, Volvo has confirmed investments exceeding $4 billion to properly prepare. This isn't the first time two generations of the XC90 will remain in production at once; the first-gen model didn't cease production until 2016.