90 years ago, the very first Volvo, the ÖV4, was produced, today the all new XC60 carries the flame forward.

Volvo Cars, the premium car maker, will this month start production of its new XC60 mid-size SUV in Gothenburg, Sweden.

The new XC60 will leave the factory 90 years to the month after the first-ever Volvo, the ÖV4, saw the light of day on 14th April 1927. 

This first Volvo sold a total of 275 vehicles in its lifetime, which was modest even in those days. The new XC60 replaces one of the best-selling models in Volvo’s 90-year history.

The new XC60 replaces the old

Volvo’s original XC60 became a phenomenon, with climbing sales every year since it was introduced in 2008. Seven years after it was revealed, it became the bestselling premium mid-sized SUV in Europe, and in its ninth year it is still the best seller. 

The current XC60 today represents around 30 per cent of Volvo’s total global sales, and this month the number of original XC60s produced will surpass 1,000,000.

“Volvo is very proud of its history. The past 90 years have been exciting, but the 10 years left until the 100-year anniversary may come to be more exciting as industry focus shifts to autonomous driving, electrification and connectivity,” says Håkan Samuelsson, chief executive of Volvo Cars. “The new XC60 is in many ways the embodiment of these trends.”

The new XC60 is one of the safest cars ever made and offers the latest in safety technology, including the new Oncoming Lane Mitigation system, which uses Steer Assist to help mitigate head-on collisions.

Volvo’s semi-autonomous driver-assistance system, Pilot Assist, which takes care of the steering, acceleration and braking on well-marked roads up to 130 km/h, is available in the new XC60 as an option.

With the new XC60 now on the market and gradually becoming available for order on markets across the globe, Volvo is set for another record year of sales in 2017.

90-year anniversary

Volvo’s founder, Assar Gabrielsson, saw an opportunity for car manufacturing in Sweden after having observed the growing auto industries in the US and Europe from his position within sales at the Swedish ball bearing maker SKF, a supplier to the car industry.

Pointing towards Sweden’s readily accessible steel, cheap labour and skilled engineers, he managed to convince SKF to invest in a spin-off car business called AB Volvo.

The first mass-produced Swedish car was quite a conventional vehicle, with elements of American car design, a wooden frame made of ash tree and beech, a 1.9-litre side-valve engine and artillery wheels with wooden spokes.

Only one colour combination was available: dark blue with black fenders.

Despite all these changes over the past 90 years, one thing has remained the same: the company’s commitment to making the world’s safest cars.

UBER and Volvo collaborate to utilise driverless cars in San Francisco, USA.

Uber, the ride-sharing technology company, is expanding its self-driving pilot to San Francisco, California, using specially converted self-driving Volvo XC90 premium SUVs.

The move marks the next phase in a deepening alliance between Volvo and Uber after the two companies signed an agreement in August 2016 to establish a jointly owned project to build base vehicles that can be used to develop fully autonomous driverless cars. These cars were initially tested in Pittsburgh, Pennsylvania.

The latest cars to be used in San Francisco have been built by Volvo and sold to Uber, after which Uber’s own self-driving hardware and software package has been added, most visibly in the roof-mounted control apparatus.

These cars will drive around the streets of San Francisco autonomously, but as part of the pilot programme they will at all times have an Uber technician on board to supervise the car’s operation.

“The promise of self-driving ride sharing is becoming a reality,” said Mårten Levenstam, vice president product planning at Volvo Cars. “Volvo is proud to be at the forefront of the latest developments in the automotive world alongside our partners at Uber.”

The alliance with Uber forms one part of Volvo’s three-part plan to develop autonomous driving (AD) technologies.

In January 2017, Volvo will begin a project entitled Drive Me, which will be the world’s largest autonomous driving test in which up to 100 AD cars will be given to members of the public to be driven on real roads around Gothenburg, Sweden. Their experiences will be used to co-develop Volvo’s AD cars.

The second part is a joint venture with Autoliv, the leading automotive safety technology company, to set up a new jointly owned company to design and manufacture separately branded AD and driver-assistance software technology packages for sale to third-party OEMs. The new company will have its headquarters in Gothenburg, Sweden, and an initial workforce taken from both companies of around 200, increasing to more than 600 in the medium term. The company is expected to start operations in the beginning of 2017.

The third part is the ongoing relationship with Uber to build and co-develop base vehicles for AD cars. This deal reduces Volvo’s development costs, gives it a chance to develop cutting-edge technology and could ultimately boost sales significantly.

The base vehicles are manufactured by Volvo and then purchased from Volvo by Uber. Volvo Cars and Uber are contributing a combined USD300m to the project. Both Uber and Volvo will use the same base vehicle for the next stage of their own autonomous car strategies.

The cars to be used in San Francisco are developed on Volvo Cars’ fully modular Scalable Product Architecture (SPA). SPA is one of the most advanced car architectures in the world and is currently used on Volvo Cars’ top-of-the-line multiple-award-winning XC90 SUV, as well as the S90 premium saloon and V90 premium estate.

SPA has been developed as part of Volvo Cars’ USD11bn global industrial transformation programme, which started in 2010, and has been prepared from the outset for the latest autonomous drive technologies as well as next-generation electrification and connectivity developments. It is these capabilities that attracted Uber to Volvo.

SCOTTISH COTY - The Volvo V90 took the Best Estate title and the top prize of Car Of The Year 2016.

• Volvo V90 crowned Scottish Car of the Year and Estate Car of the Year 2016
• Praised for its advanced technology, style and “one of the best cabin environments of any car at any price”
• V90 available now in D4 and D5 PowerPulse diesel form, priced from £34,555

The Volvo V90 has been named 2016 Scottish Car of the Year at the Association of Scottish Motoring Writers’ Awards in Edinburgh. Volvo’s new premium estate also won the Estate Car of the Year award.

The V90 beat stiff competition to win the coveted Car of the Year title, and was praised for its practicality, high-quality interior and stylish good looks. 

The judges were also impressed by its innovative technology, which includes the ground-breaking Sensus touch screen infotainment system. 

This is designed to operate like a smartphone or tablet, and allows you to control most of the car’s functions using simple swipe or pinch and zoom gestures – even when you’re wearing gloves.

This focus on advanced technology extends to every part of the car. The D5 diesel engine, for example, benefits from PowerPulse, an ingenious Volvo-designed system that uses compressed air to boost responsiveness at low revs. There’s also Pilot Assist, the semi-autonomous drive technology that is fitted as standard to all V90s. This pioneering driver aid takes care of the steering, acceleration and braking at up to 80 mph, helping to make long motorway journeys less stressful and tiring.

Every V90 also comes with a host of advanced safety equipment as standard, including two world-first aids: Large Animal Detection and Run-off Road Mitigation. Large Animal Detection helps to prevent collisions with animals such as deer by scanning the area in front of the car and automatically applying the brakes in an emergency if you fail to react in time. Run-off Road Mitigation is designed to stop the car inadvertently leaving the road by applying the steering if the car gets too close to the edge of the carriageway.

Stephen Park, President of the Association of Scottish Motoring Writers, said: “Be in no doubt, the Volvo V90 is an exceptional car and one which reshapes the estate car marketplace. The judges were impressed by the way it marries traditional Volvo family values with a head-turning sense of style, advanced technology, exceptional build quality, safety, driving dynamics and one of the best cabin environments of any car at any price. In short, we reckon it’s the most accomplished new car to be launched this year and one which offers strong appeal in the unique Scottish marketplace.”

Commenting on the awards, Jon Wakefield, Managing Director of Volvo Car UK, said: “For the V90 to be crowned not only the Estate Car of the Year but also the overall Scottish Car of the Year is a fantastic achievement. Volvo is rightfully proud of its rich estate car heritage, and the V90 successfully continues that lineage. It provides all the space and thoughtful practical touches you’d associate with a Volvo estate, along with cutting-edge technology and efficiency, and beautiful design inside and out.”

Volvo Car Group, the premium car maker, has reported third quarter operating profit of SEK2,067m, way above last years.

Volvo Car Group, the premium car maker, has reported third quarter operating profit of SEK2,067m compared to SEK1,276m in the same period last year and a year-on-year increase in revenue to SEK41,1bn from SEK36.1bn previously. The operating margin rose from 3.5 per cent in the third quarter of 2015 to 5 per cent in 2016.

Operating profit for the first nine months of the year was SEK7.66bn compared to a full year operating profit for the whole of 2015 of SEK6.6bn, prompting Volvo Cars’ expectations for the full year to move from an “improvement” to a “substantial improvement” in profit compared to last year.

“With nine months of the year completed, I can state with confidence that Volvo Cars is on track for another record year in terms of sales and that operating profit for the year is expected to improve substantially,” said Håkan Samuelsson, president and chief executive.

Volvo Cars attributed the strong third quarter performance to robust sales in major markets of both lifecycle models and new models. The bestselling cars in the quarter were two lifecycle cars, the XC60 SUV and V40 hatchback, with sales of 38,000 and 23,000 respectively, closely followed by the new XC90 SUV with sales of 22,000. Sales of the XC90 hit 66,000 for the first nine months of the year.

Overall, third quarter retail sales increased 7.8 per cent to 122,766 compared to the same period last year, with sales in China and the US both up over 20 per cent in the period. Full details of the company’s operational and financial performance can be found here.

At the same time as Volvo Cars is growing in terms of sales and profitability, it is also continuing to unveil an all new range of cars.

In the third quarter of 2016, it was possible for the first time for customers to purchase any of Volvo Cars’ top-of-the-range 90 series cars. There are good signs that the success of the XC90 SUV is being followed by strong demand for the S90 sedan and V90 estate.

Another significant development in the third quarter was Volvo Cars’ move to entrench its position as a leader in autonomous driving by forging two important alliances.

The first was with Uber, the US online ride hailing company. Volvo Cars is the first car maker to work with Uber to develop base cars to provide driverless ride hailing services. “It is highly significant that of all the car companies in the world, Uber joined forces with Volvo Cars,” said Mr Samuelsson.

The second is the establishment of a new joint venture company with Autoliv, the Swedish automotive safety technology company, to develop and sell software for autonomous driving cars.

“Volvo Cars will no longer be purely a car maker but increasingly a software developer responding to important technological changes in the automotive industry,” said Mr Samuelsson.

WORLDWIDE SALES SEPT - Volvo continues to grow with 16 months of growth, huge surges in China and new models.

• Monthly and year-to-date sales growth in all main regions, total global sales of 379,329 cars
• September represents 16th consecutive month of growth
• September sales up 6 per cent to 48,259 cars, driven by strong 27.8 per cent growth in China
• Strong demand for new XC90 main growth driver
• UK sales of 34,861 so far this year, up 7.6 per cent on 2015's figures

Volvo Cars continued its global sales momentum in September and reported its 16th consecutive month of global growth on the back of increases in all main regions. Sales for the first nine months are up 9.6 per cent year-on-year to 379,329 cars, while September sales rose by 6 per cent to 48,259 cars.

Sales of the new Volvo XC90 were the main growth driver globally, while the XC60 continues to be the best-selling model overall.

The United Kingdom recorded sales of 34,861 cars in the first nine months of the year, up 7.6 per cent over the same period last year. The XC60 has been the best-selling model in the UK so far this year, followed by the V40 and the XC90.

Jon Wakefield, Managing Director of Volvo Car UK, said: "This continued period of growth is excellent news for everyone associated with Volvo in the UK. With impressive sales of established models such as the XC60 and V40, combined with strong sales of the new XC90, we are well placed to make 2016 a record-breaking year for the company."

Sales in China continued to increase by double digits in the first nine months of the year, supported by a strong performance in September. Retail sales in the month amounted to 8,891 cars, an increase of 27.8 per cent, taking year-to-date sales growth to 11.9 per cent. The best-selling models were the locally-produced Volvo XC60 and S60L.

The United States also continued to grow, and the overall increase in the first nine months of the year now stands at 26.2 per cent. September sales were up 1.6 per cent to 5,615 cars. Demand in the US continues to be driven by the new Volvo XC90, followed by the XC60.

Sales in Western Europe are up 6.7 per cent year-to-date, with continued strong demand in several key markets. The Volvo XC60 is the best-selling model in the region. September sales were up 5.3 per cent.

Retail sales status (deliveries to end customers) for Volvo Car Group is as follows:

	September				January – September
	2015	2016	Change		2015	2016	Change
China	6,957	8,891	27.8%		56,655	63,387	11.9%
USA	5,527	5,615	1.6%		46,381	58,532	26.2%
Sweden	5,732	5,426	-5.3%		46,750	49,381	5.6%
Western Europe (of which UK sold)	19,671 (7,388)	20,714 (7,827)	5.3% (5.9%)		137,853 (32,391)	147,146 (34,861)	6.7% (7.6%)
Other markets	7,652	7,613	-0.5%		58,507	60,883	4.1%
TOTAL	45,539	48,259	6.0%		346,146	379,329	9.6%

Globally, the Volvo XC60 was the best-selling model in the first nine months of 2016, with 111,937 cars sold (2015: 115,720), followed by the Volvo V40/V40 Cross Country, with 71,790 sold cars (75,497). The new XC90 was third, with 66,347 cars sold (18,222).