Volvo Cars warns of sharp sales drop and outlines new strategic actions

Volvo Cars announced that its third-quarter sales fell sharply compared with the same period last year, driven primarily by a steep decline in China and a weaker-than-expected recovery in the United States. The company warned that this downturn will significantly erode core operating profit and cash flow for the quarter, on top of previously identified pressures from raw-material prices, currency fluctuations and rising write-down levels.

In response, Volvo said it is implementing further decisive measures to speed up execution of its strategic roadmap amid the challenging market environment. More detailed information will be disclosed alongside the full third-quarter results scheduled for 23 October. The Gothenburg-based maker also confirmed that Klaus Zellmer will assume the CEO role by October 2027, succeeding Håkan Samuelsson, while the firm remains under the ownership of Zhejiang Geely Holding Group.