Cheaper than the EX60 (which has already sold 50,000 cars) and as a replacement for that SUV, Volvo is preparing a major launch for 2027.

Volvo continues to expand its electric vehicle lineup and is already preparing what could become one of its most significant launches in 2027. After introducing the new Volvo EX60, an SUV that has received over 50,000 orders in Europe, the Swedish company has confirmed that its next all-electric vehicle will target a larger market segment at a lower price point. Its development will be specifically tailored for European drivers, though it will still be a model designed for global use.

The announcement was made during the presentation of Volvo’s third-quarter 2026 financial results, where the company outlined part of its product strategy for the coming years. Volvo plans to introduce 13 new vehicles worldwide by 2030, with 3 of them being unveiled in 2027. One of these will be targeted primarily at the European market, while the other two are being developed for China. The first vehicle is actually the new affordable electric car that will share technology with the EX60.

A new electric SUV that could become the successor to the Volvo EX40

Although Volvo has not yet confirmed its commercial name or specifications, the announced positioning gives an idea of what it is preparing. According to Autocar, the company describes it as a global electric vehicle aimed at a high-volume market segment with a lower price point than the EX60.

Everything suggests it will be a compact SUV in the C-segment, one of the most important in the European market. Currently, Volvo competes in this category with the XC40 and its all-electric alternative, the EX40. The latter could be replaced by the new model, though the manufacturer has not yet confirmed this possibility. This strategy makes sense given the commercial importance of this vehicle family.

The XC40 remains one of Volvo’s key models and holds second place among its best-selling vehicles, just behind the XC60. Therefore, introducing a new-generation electric alternative would allow it to refresh its lineup in one of the most demanding segments. However, the company has also indicated that its future European range will include various body styles, including vehicles that are lower than conventional SUVs. This opens the possibility of bringing back models such as sedans and family cars, though the official body style for the 2027 model has not yet been confirmed.

The EX60’s SPA3 platform will help reduce costs and improve efficiency

The architecture also incorporates a ‘mega-casting’ manufacturing system, which allows large structural components to be produced as a single piece, reducing the number of individual parts and simplifying industrial processes. This is complemented by a new generation of electric motors and components designed to improve energy efficiency.

Another significant advantage is its flexibility. According to Volvo, the SPA3 can be used in vehicles of vastly different sizes, from models with a length of approximately 4,200 mm, such as the EX30, to cars near 5,000 mm in length, like the EX90. This adaptability enables components to be shared across multiple models without the need to develop a specific architecture for each one.

2027’s schedule begins to emerge

The introduction of a second vehicle based on this platform also has a significant economic rationale. Volvo needs to recoup the investments made in its development and production, especially after the negative financial results recorded in recent months. Introducing a model designed for higher sales volumes will allow these costs to be spread across more units.

The commercial calendar has already been partially defined. Volvo has confirmed that the first deliveries to customers will begin after the summer of 2027, so its official launch should take place before that date. For now, the exact power output, battery capacity, range, and prices are not known. It has also not been confirmed whether it will use the name EX50, a designation that would fit its potential positioning between the current EX40 and EX60 models, but this remains a possibility rather than an official announcement.