Volvo showcases revamped luxury sedan

By Liang Fei Source:Global Times Published: 2016-1-15 9:41:39

Global sales strong, but still room for growth in China


A new Volvo S90 sits on display on Tuesday at the North American International Auto Show in Detroit, the US. Photo: CFP



Swedish premium automaker Volvo, which was acquired by China's Zhejiang Geely Holdings in 2010, presented its flagship S90 sedan at the North American International Auto Show (NAIAS) in Detroit, hopefully a game changer for the company.

The S90 sedan is a replacement for the company's aging S80, which has been in the market for around 18 years.

The car is expected to hit the Chinese market around the third quarter, Ning Shuyong, a vice president of Volvo China, told the Global Times on Tuesday.

To better cater to Chinese consumers, who generally prefer roomier cars, Volvo will roll out a long-wheelbase model of the S90 sedan in China, according to Ning.

The car is in direct competition with the Mercedes-Benz E-class, BMW 5 Series and Audi A6. Sales of its predecessor, the S80L, has been weak in the segment, analysts said, and the company needs a new model to shake up the game.

"I think the S90 will make a difference for Volvo, as it is a complete renewal from the previous model, instead of a simple modification," Shanghai-based independent auto analyst Wu Shuocheng told the Global Times on Tuesday.

One of the car's selling points is the fact it is equipped with semi-autonomous drive technologies.

In addition to adaptive cruise control and distance alerts, the Pilot Assist technology can help keep the car properly aligned within lane markings on highways at speeds of up to 130 km/h and no longer needs to follow another car, according to a press release from Volvo.

However, as attractive as it is, Wu noted that many Chinese consumers may still have doubts about autonomous driving, especially at a time when the relevant regulations are yet to be developed.

The debut of the S90 follows the launch of Volvo's XC90 mid-size SUV in June 2015, which was a major contributor to Volvo's sales in 2015.

The model was awarded the North American Truck of the Year at the Detroit auto show on January 11. The award is given by a jury of independent automotive journalists.

The XC90 SUV is mainly targeting high-end SUVs like the Audi Q7, BMW X5 and Mercedes-Benz GLE. On January 6, the upgraded XC 90 T5 hit the Chinese market.

Globally, Volvo sales increased 8 percent year-on-year to 503,127 cars in 2015, the first time it has sold more than half a million cars in its 89-year history, the company announced on January 8.

In the Chinese market, Volvo has attracted a group of followers with its safety features and low-profile Scandinavian design.

The company sold 81,588 cars in 2015, the same amount as in 2014. Its sales ranked fifth in China's premium segment, after Audi, BMW, Mercedes-Benz and Jaguar Land Rover.

Though backed by a Chinese firm, Volvo is still not as widely accepted by Chinese consumers as a premium brand like its rivals.

"The company needs models like the S90 and XC90 to consolidate its position as a premium auto brand in China," Wu said.

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