Sweden’s Volvo Cars said on Wednesday that global sales fell for the fourth straight month in June, citing weaker demand for electric vehicles and growing pressure from international trade tariffs.
The automaker, majority-owned by China’s Geely, reported 62,858 units sold last month, marking a 12% decline from June 2023. Fully electric vehicles accounted for 22% of the total, but sales in that segment dropped 26% year-on-year. Combined sales of electrified models, including plug-in hybrids, fell 19% and represented 44% of overall volume.
“This month’s performance is an example of the tough conditions that we have indicated,” a Volvo Cars spokesperson said in response to a Reuters query, adding, “We anticipated 2025 would be a challenging transition year on the path to our long-term growth ambitions.”
Volvo Cars withdrew its earnings guidance in April, citing the uncertain outlook caused by cost pressures and shifting market dynamics. In May, the company announced plans to cut 3,000 jobs—mostly white-collar roles—to address ongoing cost concerns.
Regionally, the automaker posted a 14% decline in European sales, while U.S. and Chinese sales dropped by 7% and 3%, respectively.
