Volvo Cars has reported a 16% year-on-year decline in global sales for the three months ending in October, with total volume reaching 141,656 units, down from 168,967 units in the same period a year earlier.
The Swedish automaker, which is controlled by China's Zhejiang-based Geely Auto (GEELY AUTO), said in a statement on Wednesday that the sales figures for the period reflect a difficult situation in the Chinese market. Intensifying competitive pressure from domestic automakers, combined with a weak macroeconomic environment, has continued to weigh on demand.
Volvo added that the US market is also facing significant challenges: consumer confidence remains low, while the withdrawal of subsidies for pure electric and plug-in hybrid models has dealt a blow to purchase demand.
Overall, the company's pure electric and plug-in hybrid vehicle sales fell 3% year-on-year during the period, but still accounted for 55% of Volvo's total global sales.
Chief Commercial Officer Erik Severinsson said: "In China, we are adapting to weaker demand, with our focus on stabilizing the business rather than blindly pursuing sales volume. In the US, we will concentrate our efforts on our updated mild-hybrid and plug-in hybrid product lineup."
Volvo said that underlying demand for its pure electric models in Europe remains strong, with orders for its flagship EX60 model having surpassed 50,000 units.
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