Tariffs & The Volvo EX30 — Who’s Winning Here?

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Tariffs & The Volvo EX30 — Who’s Winning Here?
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New US tariffs on Chinese-made cars are creating a headache for Volvo and the debut of its EX30 compact electric SUV.

is precisely the kind of electric car America needs. It’s a compact SUV that is agile, with good range and excellent power, at a price that many buyers will find affordable. It’s cute, peppy, and above all else, it’s a Volvo, with all that name implies about safety and excellent build quality. It is also right in the crosshairs of the new US tariffs that make importing cars made in China a virtual impossibility.

Charles Anthony, who lives in Maine and is a firm believer in electric automobiles, said, “I am quite certain Volvo USA is truly in a bind over all this.” He has cancelled his reservation for a Volvo EX30, but said he does not plan to purchase one unless he gets to test drive the car first. He also fears the new tariffs on Chinese-made cars may create a harsh new reality for the Swedish automaker.

The US representatives for Volvo are not helping the situation. All Volvo spokesperson Russell Datz will say publicly is that the company is being prudent about what could happen in the US market. He said the company is looking into how these tariffs might impact the EX30. “All I can tell you is, we’re investigating the tariffs,” he said. “When there’s a resolution, we will provide more information.”When the Volvo EX30 was announced a year ago, the US tariff on Chinese cars was 27.

The EX30’s much-touted base price is for the single-motor, rear-wheel drive version. The all-wheel drive Twin Motor versions are expected to start at $44,900. Fiorani added that such a compact car is likely to be uncompetitive if its US price goes up too much. “If the price is significantly different from the proposed $35,000 price tag, they’re going to miss the market on that model.

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