Published by Global Banking & Finance Review®
Posted on December 3, 2025
2 min readLast updated: January 20, 2026
Add as preferred source on GoogleVolvo Cars experienced a 10% sales drop in November due to US market challenges and trade tariffs, despite a rise in electric vehicle sales.
By Jagoda Darlak
Dec 3 (Reuters) - Sweden-based Volvo Cars on Wednesday reported a slump in November sales, continuing a decline this year amid pressure from trade tariffs and subdued demand in the United States.
Volvo Cars, which is majority-owned by China's Geely Holding, said in a statement it sold 60,244 cars in November, a 10% drop from a year earlier, taking its year-to-date volume decline to 8%.
"November's sales figures highlight the ongoing structural and transformational challenges affecting both Volvo Cars and the broader industry," Chief Commercial Officer Erik Severinson said in a statement.
The group, which is targeting a long-term operating profit margin of more than 8% as part of a recent strategy overhaul, said sales of fully electric cars rose 4% year-on-year to account for 24% of the overall volume.
Sales of electrified cars as a whole, also including plug-in hybrids, were down 5% to account for 50% of total sales volumes.
Volvo Cars did not provide a regional breakdown of demand, but said U.S. sales remained subdued following the country's phase-out of electric vehicle tax credits.
Shares in the company were down 1.9% at 0918 GMT, but are up almost 35% year-to-date.
(Reporting by Jagoda Darlak, editing by Anna Ringstrom and Terje Solsvik)
An electric vehicle (EV) is a type of vehicle that is powered by electricity instead of traditional fuels like gasoline or diesel. They are known for being more environmentally friendly and often have lower operating costs.
Market demand refers to the total quantity of a product or service that consumers are willing and able to purchase at various prices during a given time period. It is a key factor in determining sales and pricing strategies.
Operating profit margin is a financial metric that shows the percentage of revenue that remains after covering operating expenses. It is calculated by dividing operating income by total revenue, indicating a company's efficiency.
Year-to-date volume refers to the total amount of sales or transactions that have occurred from the beginning of the year up to the current date. It is often used to assess performance over a specific period.
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