In a decision driven by upcoming EU regulations, Volvo has announced that it will not bring its C30 electric car to the U.S. market. Instead, the lithium ion-powered vehicle will only be sold in the European Union. Drafted EU regulations require automakers to cut carbon dioxide (CO2) emissions by 25 percent within the next two years – and the rules tighten even further down the road. Volvo plans to meet the pending regulations with both electric and plug-in hybrid vehicles. The automaker plans to roll out 50 electric cars in Sweden over a two-year period, and then deliver 1,000 cars a year once production ramps up.
Volvo's move is interesting as it not a consumer-driven initiative (like wider tires or upgraded infotainment systems). Instead, the automaker is solely trying to satisfy future CO2 emission-related mandates. Reiterating this position, consumers have been receptive to gasoline-electric hybrids, yet Volvo – unwilling to waver from its focus on carbon dioxide mandates – says that particular type of hybrid powertrain adds technology and weight, but it doesn't reduce CO2 by much. With that, the automaker has no plans to make a gasoline-electric hybrid (but the C30 does have a small ethanol-fueled heater, FWIW).