To say 2020 has so far been tough is an understatement. The COVID-19 global pandemic has caused the economic machine to grind to halt, causing many industries to suffer heavy losses. The automotive industry is no exception. Volvo recently reported its 2020 first-quarter sales figures, and the results speak for themselves.
Globally, Volvo Cars sold 131, 889 cars from January to March 2020, an 18.2% drop from the same period last year. In March alone, Volvo sold 46,395 vehicles, which was a dismal 31.2% lower when compared to March 2019.
In the January to March period, the best-selling Volvo was the XC60, followed by the XC40, then the XC90. SUV’s have become the bread and butter for Volvo, accounting for 67.9% of sales, which is surprisingly up from 60.3% from the first quarter last year. Volvo’s Recharge line of plug-in hybrids and fully electric vehicles also did well, comprising of 14.7% of all sales, almost double from last year.
China suffered the worse sales slump, which isn’t all that surprising. Q1 Volvo sales in China took a 30.5% hit compared to Q1 2019. Volvo’s European performance also suffered from overall 18.5% sales drop, selling 16,000 fewer cars than the same period last year.
However, March sales figures seem to turn the quarter’s numbers on its head. The United States and Europe suffered massive 42.7% and 35% drops respectively, mainly due to the more stringent implementation of the stay-at-home order. China, on the other hand, though still lower than the comparable period, saw only a 16.2% drop.
Volvo isn’t the only manufacturer who has suffered the downturn. Toyota, BMW, Ford and Volkswagen among other big names shutting down manufacturing facilities across Asia, Europe and the US due to the pandemic. But are they down for the count, or are they too big to fail? Only 2021 holds the answers.