Latest news with #VolvoCars
TimesLIVE
42 minutes ago
- Automotive
- TimesLIVE
S&P cuts outlook on Volvo over tariffs, China competition
S&P on Friday lowered the outlook for its BB+ credit rating on Volvo Cars to "negative" from "stable", saying US tariffs and tougher competition in China were hurting the company's growth prospects. The Sweden-based carmaker, majority-owned by China's Geely, last month withdrew its earnings guidance and announced cost cuts which will include laying off about 3,000 mostly white-collar workers amid a slowdown in demand. "The negative outlook on Volvo Cars reflects its large exposure to US import tariffs and the increasing marginalisation in the Chinese market," S&P said. "We expect Volvo Cars' profitability and cash generation after investments to come under pressure in 2025-2026, partly alleviated by a substantial cost reduction programme." The USs represented 16% of Volvo Cars sales in 2024, while China accounted for 20%. Volvo Cars produces only one of its models in the US, and relies on imports for the rest, leaving the company more exposed to US tariffs than many of its European peers. S&P said a proposed 2027 US ban on carmakers controlled by a Chinese entity also weighed on the outlook. In the most recent twist in the trade turmoil sparked by President Donald Trump, a US court on Thursday temporarily reinstated sweeping new tariffs, a day after another US court had ordered an immediate block on them.
Yahoo
2 days ago
- Automotive
- Yahoo
Production at Volvo Ridgeville facility expected to resume after temporary pause
RIDGEVILLE, S.C. (WCBD) – Production at Volvo's Ridgeville facility is expected to start back this weekend after a temporary pause, officials said Friday. Local production was temporarily paused at the end of last week due to a supply chain issue, according to a Volvo Cars spokesperson. The car manufacturer has been working to resolve the issue and said production is expected to resume this Saturday. U.S. Rep. Jim Clyburn took to X addressing the production pause saying, 'Trump's reckless tariffs are continuing to wreak havoc on South Carolina's economy.' 'Jobs have already been lost, and more are at grave risk. Trump said slowing port traffic was a 'good thing.' South Carolinians know how wrong he is,' he added. The pause comes shortly after Volvo announced plans to lay off 5% of its employees at the Ridgeville site in response to 'changing market conditions and evolving trade policies,' including tariffs. The layoffs are part of a cost and cash action plan introduced by the company, which includes 3,000 global layoffs. Workers at the Ridgeville plant produce Volvo's fully electric EX90 which is 7 seat premium SUV. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
3 days ago
- Automotive
- Yahoo
Volvo Cars, Google expand partnership to deploy Gemini AI in vehicles
This story was originally published on Automotive Dive. To receive daily news and insights, subscribe to our free daily Automotive Dive newsletter. Volvo Cars is expanding its partnership with Google to rapidly deploy its Gemini AI-powered assistant to more of its vehicles featuring Google built-in, the automaker announced on May 21. As part of the expanded collaboration, Volvo vehicles will serve as one of Google's reference hardware platforms for the future deployment of Android Automotive OS (AAOS), which is designed to replace an OEM vehicle infotainment system. 'We're excited to deepen this partnership, accelerating the pace of innovation that will not only improve the driving experience for Volvo customers but also set new benchmarks for the automotive industry,' said Patrick Brady, VP of Android for Cars at Google, in the release. The more feature-rich Gemini AI-powered voice assistant will replace the current Google Assistant of Volvo vehicles later this year, making the automaker's customers among the first to access the latest version of Google's generative AI technology. Gemini allows drivers and passengers to request information about virtually any topic using natural conversations. For example, drivers can ask Gemini questions about the vehicle's user manual or request specific details about a destination before arriving. The AI-powered assistant can also help drivers draft messages, which can be translated into over 40 different languages before sending. Google has also selected Volvo Cars as its lead development partner for testing new features and updates, before adding them to the Android codebase for access to software developers. The Android codebase is known as the 'Android Open Source Project' and the software it contains is free for developers to use. The platform allows anyone to view, modify and distribute code for their own use. Google offers the developer community extensive resources and guidelines for creating Android-based apps. According to Volvo, its expanded partnership with Google will help 'accelerate advancements in the connected car space for the entire automotive industry' and for drivers globally. 'We strive to deliver human-centric technology, and a stunning customer experience is an essential part of this,' said Alwin Bakkenes, head of global software engineering at Volvo Cars, in the release. 'With our expanding partnership, we're collaborating on cutting-edge solutions that shape the future of connected cars.' The Google partnership with Volvo advances the rollout of AAOS currently used by Volvo Cars. Vehicles running AAOS do not require syncing with a smartphone for access to popular Google services. Volvo vehicles with Google built-in come with Google Play, Google Assistant, Google Maps and other popular apps. For Volvo models equipped with AAOS, the vehicle's infotainment system serves as a standalone Android device. Drivers can download and install Android or other-third party apps directly to their vehicle's infotainment system. The latest version of AAOS was released in December 2024. In addition to future Volvo vehicles, Gemini will be made available for other OEM brands featuring Google built-in later this year, including the new Lincoln Nautilus, Honda Passport and select Chevrolet, Cadillac, GMC and Acura vehicles. Google also announced that it is adding Gemini to Android Auto in the coming months, which can mirror apps wirelessly on compatible models from a smartphone that's synced to a vehicle. Recommended Reading Google is adding its AI-powered Gemini voice assistant to Android Auto Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Automotive
- Yahoo
Volvo suspends production at SC plant citing parts shortages
Volvo Cars has halted production of its battery powered EX90 sport-utility vehicle at the automaker's South Carolina factory due to a parts shortage. (Photo provided by Volvo Cars) Volvo Cars has halted production at its Lowcountry plant because of a parts shortage, highlighting the growing supply chain issues automakers nationwide are experiencing in the wake of President Donald Trump's on-again, off-again tariffs. Volvo, which builds the all-electric EX90 sport-utility vehicle at its $1.2 billion plant in Ridgeville, did not immediately specify the parts involved or say how long the shutdown announced Thursday is expected to last. The carmaker is working with suppliers to resolve the problem and get the factory off Interstate 26 up and running again, according to news reports. The shutdown comes on the heels of Volvo announcing layoffs affecting 5% of the plant's workers, or roughly 100 people, and a global workforce reduction of 3,000 employees, most of them at the automaker's Sweden headquarters. The layoffs are part of nearly $2 billion in cost reductions Volvo is undertaking as tariffs have roiled global trade. The EX90, with a list price of $79,995, is the only vehicle Volvo builds at its South Carolina factory. The company has said it may add production of other vehicles at the Lowcountry site to offset tariffs on imported vehicles, which make up most of Volvo's most popular sellers in the United States. The EX90 is the flagship model in Volvo's pledge to build an all-electric lineup, but its sales have lagged far behind the brand's other gas-powered and hybrid models. Through April, Volvo sold 4,051 EX90s worldwide compared with sales topping 80,293 for its most popular XC60 mid-sized SUV. All told, EX90 sales have made up about 1.8% of Volvo's 231,100 global sales through April. This is a developing story and will be updated.
Business Recorder
3 days ago
- Automotive
- Business Recorder
S&P lowers outlook on Volvo Cars rating citing US tariffs, competition in China
STOCKHOLM: S&P on Friday lowered the outlook for its BB+ credit rating on Volvo Cars to 'negative' from 'stable', saying U.S. tariffs and tougher competition in China were hurting the company's growth prospects. The Sweden-based automaker, which is majority-owned by China's Geely, last month withdrew its earnings guidance and announced cost cuts, which will include laying off some 3,000 mostly white-collar workers amid a slowdown in demand. 'The negative outlook on Volvo Cars reflects its large exposure to U.S. import tariffs and the increasing marginalisation in the Chinese market,' S&P said in a statement. 'We expect Volvo Cars' profitability and cash generation after investments to come under pressure in 2025-2026, partly alleviated by a substantial cost reduction programme.' The United States represented 16% of Volvo Cars sales in 2024, while China accounted for 20%. Volvo Cars to cut 3,000 jobs in restructuring Volvo Cars produces only one of its models in the United States, and relies on imports for the rest, leaving the company more exposed to U.S. tariffs than many of its European peers. S&P said a proposed 2027 U.S. ban on automakers controlled by a Chinese entity also weighed on the outlook. In the most recent twist in the trade turmoil sparked by President Donald Trump, a U.S. court on Thursday temporarily reinstated sweeping new tariffs, a day after another U.S. court had ordered an immediate block on them.
