Volvo Begins EX60 Electric SUV Production, Targets 40,000 Units in 2026

Volvo Cars has started production of its new flagship electric SUV, the EX60, at its Torslanda factory in Sweden. The company expects to build up to 40,000 units of the EX60 this year, according to CEO statements to Reuters. Demand for the vehicle has surpassed initial forecasts, prompting Volvo to consider extending summer production by an extra week to meet customer orders.

Key Highlights

• Volvo begins EX60 electric SUV production in Sweden with a 40,000 unit target for 2026
• EX60 demand exceeds initial forecasts prompting possible summer production extension
• EX60 is priced near the plug-in hybrid model to attract more customers
• EX60 is the first model on Volvo's new production platform requiring major factory upgrades

EX60 Demand and Production Plans

Volvo unveiled the EX60 in January and has seen order intake exceed planned levels. CEO Jim Rowan said the main challenge now is delivering vehicles, not selling them. Volvo's production launch comes as some competitors scale back electric vehicle plans or return to diesel models due to softening demand in certain markets.

Chief Commercial Officer Erik Severinson stated that Volvo aims to price the EX60 similarly to the plug-in hybrid version. He noted that matching the hybrid's price point could help attract more customers. High prices have slowed electric vehicle adoption, while hybrids remain popular as a transition between combustion engines and full electrification.

New Platform and Market Rollout

The EX60 is the first model built on Volvo's new production platform. This required significant changes to the Torslanda facility. CEO Rowan described the EX60 as an all-new car with new technology, emphasizing the need to quickly ramp up production from zero.

Volvo has released several electric models in recent years. However, deliveries of the smaller EX30 and larger EX90 have faced delays due to software issues, supply-chain challenges, and tariff-related disruptions. The company has opened order books for the EX60 in Europe and plans to open them in the United States during the spring.

Industry Context

Volvo's commitment to the EX60 sets it apart from rivals who have delayed or canceled electric vehicle launches. The automaker continues to invest in electrification despite market fluctuations and operational challenges. The EX60's launch highlights Volvo's strategy to expand its electric lineup and adapt to changing consumer demand.

Production of the EX60 began on April 23, 2026, marking a significant milestone for Volvo's electric vehicle ambitions.