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Volvo Cars has reached a significant milestone in its electrification strategy, delivering its one millionth plug-in hybrid (PHEV). This achievement underscores the role of hybrid vehicles as a crucial pillar in the company’s transition toward becoming a fully electrified car manufacturer.
Key Highlights
- Delivered its one millionth plug-in hybrid vehicle.
- PHEVs constituted 23 percent of global sales in the first half of 2025.
- The XC60 model was Europe’s best-selling PHEV in 2024 and a global segment leader.
- Company data shows its PHEVs operate on electric power for approximately half of their total driving time.
Growth in Plug-in Hybrid Sales
Plug-in hybrids represent a substantial portion of Volvo Cars’ sales, growing from nearly 46,000 units in 2019 to over 177,000 units in 2024. This growth has been driven by strong demand for the XC60 and XC90 PHEV models across all three primary sales regions. The XC60, in particular, was the best-selling PHEV in Europe in 2024 and has led the premium PHEV segment globally for the last three years, a trend that continues into 2025.
The success of its PHEV lineup gives Volvo Cars the highest share of PHEV sales among all legacy premium car brands. The company continues to expand its offerings with the recent launch of the XC70 SUV, its first long-range plug-in hybrid, which boasts an electric range of over 200 kilometers under the CLTC testing cycle.
Bridging to a Fully Electric Future
According to Erik Severinson, chief commercial officer at Volvo Cars, plug-in hybrids are a vital bridge for customers not yet ready to transition to fully electric vehicles. The company is committed to a fully electric future but plans to advance at a pace that aligns with customer needs and the development of charging infrastructure.
Internal data from Volvo Cars reveals that its PHEVs are frequently driven like fully electric vehicles, especially in urban environments. On average, drivers use the car’s electric power for around half of the total driving time. “While we invest and grow our presence in the growing premium fully electric segment, we will also continue to update and refresh our hybrids,” said Severinson.
A Decade of Hybrid Leadership
Volvo Cars has been a leader in plug-in hybrid technology for over a decade, launching its first PHEV—a diesel variant of the V60 estate—in 2012. For several years, it was the only global automaker to offer a PHEV version of every model in its lineup. Today, the company offers PHEV variants on five different models, complementing its range of six fully electric models. This balanced portfolio provides a strategic advantage, allowing the company to meet diverse customer needs globally.
About Volvo Car Group
Founded in 1927, Volvo Cars is one of the world’s most recognized and respected car brands, with sales in over 100 countries. The company is listed on the Nasdaq Stockholm exchange under the ticker “VOLCAR B.” For the full year 2024, Volvo Car Group reported a record-breaking core operating profit of SEK 27 billion, with revenue reaching an all-time high of SEK 400.2 billion and global sales hitting a record 763,389 cars.
Volvo Cars’ purpose is “to give people the freedom to move in a personal, sustainable and safe way.” This is reflected in its ambition to become a fully electric car maker and achieve net-zero greenhouse gas emissions by 2040. As of December 2024, the company employed approximately 42,600 full-time staff. Its primary operations are based in Gothenburg, Sweden, with production plants in Europe, the U.S., and China.
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