REPORT: Volvo XC90 replacement cancelled

If you're on the list of OEM component suppliers for the planned replacement of the Volvo XC90 sport-ute, don't read this article, because you haven't been informed yet. For everyone else, however, reports are emerging that Ford PAG has pulled the plug on the Swedish subsidiary's flagship SUV.

The reports come from the Swedish edition of Auto Motor & Sport , which cites the lack of environmentally-friendly powertrain alternatives as the main factor that influenced Ford to trash plans for the second-generation XC90, despite an anticipated launch in two years' time. Volvo has no hybrid powertain to put in the large SUV, slated to share a Ford platform, and no start/stop engine function. Rather than developing such systems, and with an eye on dropping sales of the rival BMW X5, PAG has reportedly opted to cancel the program altogether.

While the XC60, XC50 and possibly upcoming XC30 are expected to continue on without their bigger brother, the current XC90 model will receive a facelift in 2009 and stay on the market until 2012.

[Source: Auto Motor & Sport via World Car Fans]

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