Volvo Cars reported global sales of 62,858 vehicles in June 2025, marking a 12% decline compared to the same period last year. The company’s half-year performance also reflected a downward trend, with total sales of 353,780 units, down 9% from the first six months of 2024.
This decline comes amid broader headwinds in the electrified vehicle segment, a core focus area for Volvo Cars as it accelerates toward its goal of becoming a fully electric carmaker.
Electrified Models See Sharp Decline
In June, fully electric and plug-in hybrid models—collectively referred to as electrified vehicles—accounted for 44% of Volvo’s global sales, but overall sales in this category fell 19% year-over-year. Fully electric vehicle (EV) sales were particularly impacted, declining 26% in June to 13,674 units. Plug-in hybrid sales dropped by 11% to 14,133 units.
Despite the short-term contraction, the US market showed strong EV momentum, with fully electric sales rising 136% in June and 182% year-to-date, driven by growing adoption and favorable incentives.
Regional Sales Overview
- Europe remained the company’s largest market in June with 31,547 units sold, though this was down 14% from the previous year. Electrified sales accounted for a robust 60% share, but declined 21% year-over-year.
- In China, sales fell 3% to 13,569 units, with electrified sales dropping 26% — a decline led by a 69% fall in EV sales.
- The US market saw a more moderate 7% decrease, totaling 8,627 units. Plug-in hybrid demand slipped, but EV sales more than doubled.
- In other markets, including Asia-Pacific and Latin America, sales dropped 22%, with electrified models decreasing 17%.
Top-Selling Models
The Volvo XC60 retained its position as the company’s best-selling vehicle, with 20,706 units sold in June (up from 19,222 in June 2024). It was followed by:
- XC40/EX40: 15,442 units (down from 16,195)
- XC90: 8,842 units (down from 9,139)
Outlook and Strategic Focus
Despite short-term softness, Volvo Cars remains committed to its electrification strategy and carbon neutrality targets. For the full year 2024, the company recorded its highest-ever core operating profit of SEK 27 billion and revenue of SEK 400.2 billion, supported by record sales of 763,389 vehicles.
“We’re navigating through a transitional phase in the global auto industry,” a Volvo Cars spokesperson stated. “While we’ve seen temporary dips in electrified vehicle sales, our long-term trajectory remains unchanged — toward a fully electric future by 2030 and net-zero emissions by 2040.”
