Volvos Cutting Models from U.S. Market Due to Tariffs
Some Volvo vehicles are being removed from sale in the United States due to tariffs. This impacts most of the company’s sedans and wagons. However, this doesn’t signal a permanent departure from the U.S. market.
Volvo has informed the public that it’s taking a temporary step back from offering a wide range of models in the country. This decision is primarily driven by the financial viability of selling these vehicles in the U.S., particularly in light of tariffs.
Earlier this week, Volvo announced it would stop selling several foreign-built models in the U.S. The most affected are the company’s sedans and wagons. The reason for this change is the impact of tariffs on the profitability of these vehicles.
Key Changes
- The S60, for example, ended production last year.
- Sales of the S90 have been halted sooner than initially planned.
- The powerful 670-horsepower ES90 electric sedan will not be sold in the U.S. due to its unprofitability.
- The V90 wagon is being discontinued, and the V60 will be the only remaining wagon sold, primarily in a crossover-like form.
- The only EV affected so far is the Volvo EX40 (XC40 Recharge), which isn’t a newer model.
Impact of Tariffs
Volvo’s North American sales have decreased by 18% year-over-year in the second quarter, and by about 10% year-to-date. The company’s President and CEO, Martin Lundstedt, stated that 2025 will be a period of “wait and see” for U.S. customers, as sales across various vehicle types are down.
Volvo is reducing production in North America to adjust to lower demand. However, the company is still committed to the U.S. market and has invested in building the XC60 in America to avoid tariffs.
This move signifies a challenge for car buyers in the U.S., as fewer non-crossover options will be available. It also highlights how tariffs can affect the pricing and availability of vehicles from international manufacturers.

I’m Rohan Mehta, the voice behind KhelRe—a trusted and steadily growing blog dedicated to electric vehicles (EVs) in India. With over five years of experience as a tech and automotive blogger, I turned my frustrations with owning an EV into a mission: to help others make more intelligent choices in this fast-evolving world of electric mobility.
I’ve been an early adopter of EV technology—I repurchased my first electric scooter in 2019. That experience opened my eyes to both the promises and the pitfalls of this new mode of transport. From slow charging times and range anxiety to misleading specs and hidden costs, I’ve faced it all. But instead of walking away, I decided to write about it.
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