Volvo May Revive US Wagon Sales

Volvo’s decision to end production of the V60 Cross Country, the last remaining wagon sold in the U.S., has left many wondering if the company will bring back wagons to the American market. The V60 Cross Country’s production ended in April, leaving Americans with fewer choices for the body style.

According to CEO Hakan Samuelsson, wagons are gaining popularity in China, with Volvo’s customers increasingly asking for them. “Welcome to the club. We love them here in Europe, so we have no problem understanding that,” Samuelsson said.

The trend in the U.S., however, is different. Americans prefer SUVs for their functionality, and Samuelsson doesn’t see that changing anytime soon. But the shape of vehicles is evolving, with the new EX60 midsize electric SUV blurring the lines between wagons and SUVs.

Samuelsson pointed to the EX60 as an example, saying “Would you call that a wagon? I would guess 50/50.” The EX60 has an elongated body, softer lines, and a lower stance, which sets it apart from the more upright, squared-off SUVs that have been popular in recent years.

The trend towards boxy SUVs may be running its course, with Samuelsson believing that people are divided on the design. “These really aggressive, boxy super high city Jeeps, maybe they are a bit outdated,” he said.

Volvo is following current trends, with the EX60 having a Cross Country version coming for the 2028 model year, which sits higher and is more SUV-like. However, Samuelsson hasn’t ruled out lower body styles for next-generation models, saying “I’m a bit skeptical that everyone will love SUVs 10 years from now… Maybe the next generation will want something different from what their parents drove.”

Volvo chief commercial officer Erik Severinson doesn’t see SUV fatigue yet, but is open to exploring wagons and cars in different ways. For example, the new ES90 electric sedan sits higher than a traditional sedan but offers a sedan-like experience and ride.

Severinson said “Never say never” when asked if Volvo will bring back wagons to the U.S. market. The company is focused on defining premium cars in the electric age, and bringing back Thomas Ingenlath as head of design will help with that goal.

Ingenlath is tasked with creating a new beginning with the next generation of Volvos, which must be unique but distinctly Volvo. “You should recognize a Volvo from 100 meters distance,” Samuelsson said.

Despite Volvo’s impending wagon exit, it’s not all doom and gloom for American consumers who desire a more classic wagon. Other manufacturers, such as Audi and Mercedes-Benz, still offer wagons in the U.S. market.

BMW is also monitoring sales of the M5 Touring as it considers selling the smaller M3 Touring or potentially the more pedestrian 3 Series Touring in the U.S. Genesis is deciding whether to enter the performance wagon market with a production version of the G90 Wingback Concept.

Volvo’s Wagon Plans

For now, Volvo is focused on its current lineup, which includes the EX60 and ES90. The company will continue to monitor the market and adjust its plans accordingly.

In room 304 of the Gothenburg, Sweden, event space, Samuelsson spoke to MotorTrend about the future of wagons. He said that while SUVs are currently popular, he believes that the market will shift in the next 10 years.

Wagon Sales

According to data, wagon sales have been declining in the U.S. in recent years. However, there is still a niche market for them, particularly among enthusiasts who prefer the classic design.

In 2022, Audi sold 1,044 units of the A6 allroad in the U.S. Mercedes-Benz sold 2,514 units of the E-Class All-Terrain. These numbers are small compared to SUV sales, but they show that there is still a demand for wagons.

As the market continues to evolve, it will be interesting to see if Volvo will bring back wagons to the U.S. market. For now, the company is focused on its current lineup and will continue to monitor the market for any changes in consumer demand.

On a typical Tuesday morning, the Volvo design team meets to discuss upcoming projects. The team is led by Thomas Ingenlath, who is tasked with creating a new beginning for the next generation of Volvos.