Volvo gears up EX30 production in Belgium

Volvo is reconsidering its strategy in light of EU tariffs on Chinese electric cars. Instead of continuing to import its small crossover from China and accepting tariffs of 28.8 per cent instead of the previous 10 per cent, the Swedish-Chinese carmaker has moved production of the EX30 to Europe. The local version of the popular electric SUV model has been rolling off the production line at Volvo’s Belgian plant in Ghent since April.

However, the tariffs, which were eating into the manufacturer’s margin on the EX30, are not the only reason for the change in strategy – in some cases, the waiting times were simply too long. In 2024, Swedish and German buyers had to wait up to eight months for their EX30 in some cases; according to the configurator, the current delivery time is around seven months. However, the manufacturer wants to speed up deliveries even further. Once production in Ghent is fully ramped up, it should be reduced to just 90 days, according to Volvo’s European boss Arek Nowinski, as reported by Automotive News. The Geely subsidiary expects to achieve this goal before the end of this year.

“The car is now being built in Europe, which means faster delivery times,” Volvo CEO Hakan Samuelsson summarises to Automotive News Europe. However, the long waiting times were not only unpleasant for customers, but also hurt the manufacturer’s business. In 2024, the EX30 still ranked third in European electric car sales figures, but in the first half of 2025, it slipped to twelfth place in the ranking, according to analysts at Dataforce. The production changeover in Ghent is also said to have had a negative impact in the short term.

The entry-level model from Gothenburg, available from 38,490 euros, immediately established itself as one of the manufacturer’s most important series. Last year, the EX30 was already in fourth place internally, so the delivery problems are directly linked to Volvo’s global sales decline of nine per cent in the first half of the year and the operating loss of around one billion US dollars in the second quarter.

However, Volvo CEO Samuelsson is optimistic about the relocation of production to Europe: “We should return to the sales and market share figures for the EX30 that we had before the introduction of tariffs,” he says in the interview.

Production for the US will also happen in Ghent

Volvo wants to build up reserve stock in the entry-level segment, in order to increase availability and thus be able to meet demand. While personally configured EX30s are only delivered after six months, some models that have already been produced are delivered to customers after just one week. “The cheaper the car, the more vehicles you need to have in stock,” said European CEO Arek Nowinski.

However, the relocation of production to Belgium is intended to promote the brand not only on the European market, but also on the American market. The previous version is virtually unsellable due to US punitive tariffs of 147 per cent on Chinese goods, which is why Volvo has not offered the EX30 there in recent months.

In contrast, the US levies 15 per cent tariffs on cars manufactured in Europe, which is why the version manufactured in Ghent is also expected to play a major role on the American market in the future. Volvo plans to launch the larger EX40 in 2026, which is also expected to be produced at the Belgian plant.

autonews.com (paywall)