Two new Volvo models on the way this year, and an estate car could follow

Volvo has announced it will reveal two “very exciting” new models later this year, with bosses at the Swedish firm hinting the pair will deliver major advances for its range of hybrids. 

While Volvo didn’t reveal any specific details about these mysterious new cars, we suspect they will be the ‘new and improved’ versions of its existing SUVs Auto Express revealed were in the works earlier this year. 

With the Volvo XC40 now a decade old and last refreshed in 2022, we assume that it will receive some substantial styling and interior upgrades just as the top-selling XC60 and XC90 have in recent years. Some improvements under the metal are likely, too.

While the XC60 and XC90 have recently been updated, it seems at least one of them is getting further attention and some far more substantial upgrades than before.

The big one will be the addition of Volvo’s new ‘Gen 2’ plug-in hybrid system that builds on its current tech and should feature a considerably bigger battery, so will rely less on the petrol engine and allow cars to be driven mostly on electric power. This should result in a significant increase in fuel efficiency. 

Anders Bell, Volvo’s chief engineering and technology officer, previously told Auto Express that with this new PHEV set-up: “It feels like you’re driving an EV in the vast majority of the use cases. But we will always have preserved a source of energy for you, for overtakes. So you always get really good performance. That’s really important for us, the drivability.”

By the sounds of it, the ‘Gen 2’ plug-in hybrid will be more like the ‘extended-range’ system featured in the Volvo XC70 sold in China that can cover more than 130 miles without using a drop of petrol. 

Chief commercial officer Erik Severinson alluded to these new cars featuring significant powertrain upgrades during the company’s Q2 results call. “Without revealing any details about the future product upgrades, we have said that we will continue to invest in our PHEV technology,” he said.

“We have been very, very successful in terms of market share [for PHEVs], both on the XC60 and the XC90, I would argue, in all markets. So that is obviously a position which we will continue to protect. And there will be more news coming very soon.”

These two models are apparently just the tip of the iceberg, as Volvo says it’s building up to the “most ambitious product plan in its history,” which will be outlined on 17 September. 

There have been reports Volvo is developing a new estate car, which would be music to the ears of its fans. Auto Express asked CEO Håkan Samuelsson about the possibility of a new Swedish station wagon, possibly based on the highly scalable SPA3 architecture that underpins the Volvo EX60. 

“That’s an interesting opportunity,” he acknowledged, but added that an estate is not one of the new cars being revealed this year. Nor did he confirm there are any plans for a new load-lugger. 

However, Severinson added “SPA3 is a very capable architecture to do big cars, small cars, high and low cars, which is a prerequisite for any estate discussion.” So the door is clearly being left open for now. 

Part of Volvo’s new strategy is developing models tailored specifically for the Chinese market, done with help from parent company Geely, and others tailored for the American market. 

Those cars designed for the US will also be sold in Europe and offer a multi-fuel strategy, according to Samuelsson. We don’t know what type of cars they are yet, but they’re practically guaranteed to be SUVs given the love for them on the other side of the pond.

Volvo will soon begin building the XC60 in its plant in Ridgeville, South Carolina, plus another “very attractive bigger car for the US market.” This as-yet-unnamed hybrid SUV is due before the end of the decade.

If you like the Volvo XC40 just the way it is, there are nearly 700 used examples of the premium compact SUV available through the Auto Express Buy A Car service, starting from around £10,000.