Volvo won’t comply with Tesla and Ford in decreasing costs for its electrical automobiles anytime quickly.

The automaker is seeing sturdy demand for its full-electric fashions, Chief Monetary Officer Johan Ekdahl stated in an interview Thursday.

“We really feel snug in our pricing technique and won’t have interaction in value wars,” Ekdahl stated.

Ford final month slashed the value of its electrical Mustang Mach-E by a mean of $4,500 in response to earlier cuts from Tesla, the most important producer of EVs.

Analysts have stated they count on extra discounting throughout the trade as further EV fashions come to market and producers overcome provide chain points which have curtailed manufacturing.

Provided that costs for uncooked supplies had been to normalize would the automaker managed by China’s Zhejiang Geely Holding Group take into account adjusting costs, CEO Jim Rowan stated in the identical interview. “It’s not pushed by demand,” he stated.

“The demand is actually excessive for all our automobile, particularly our BEVs [battery-electric vehicles],” Rowan beforehand informed Automotive Information Europe.

December was the strongest month ever in automobiles produced for Volvo, with a run fee of about 72,000, Rowan stated.

Additionally, Volvo stated final month that the beginning costs for the up to date XC40 and C40 EVs in Germany would rise to 47,500 euros from about 44,800 euros,

A spokesman attributed the 6 p.c rise largely to extend supplies and logistics prices.