Volvo Cars said on Tuesday that it will stop the production of all diesel-powered car models by early 2024 as it proceeds towards being a solely EV maker
What Happened: The last diesel Volvo car will be rolled off the production line in a few months from now. Company Chief Executive Jim Rowan explained the rationale behind the decision: “Electric powertrains are our future, and superior to combustion engines: they generate less noise, less vibration, less servicing costs for our customers and zero tailpipe emissions." The company said in a statement that it will be one of the first legacy car markers to take the step.
Why It Matters: Merely four years ago, in 2019, a majority of cars sold by the company in Europe were powered by a diesel engine. However, now, a majority of Volvo’s sales in the continent comprises electrified cars. It has also stopped spending any part of its research and development budget on developing new internal combustion engines.
Volvo Cars aims to sell only EVs by 2030 and be climate-neutral by 2040. It is majority-owned by China’s Zhejiang Geely Holding Group.
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