Tariff Casualty: The S90 Must Die So Volvo Can Live

by Chris Teague

Published: April 10th, 2025

tariff casualty the s90 must die so volvo can live

Automakers are approaching their responses to President Trump’s trade war from all angles, with some considering price increases and production cuts to cope. Volvo, a Swedish company with Chinese owners, imports a significant portion of the vehicles it sells in the U.S., making it more vulnerable than others. As part of its response to the tariffs, the automaker said it would discontinue the S90 sedan.

The China-built S90 only sold 1,364 units in 2024, so the loss won’t put a big hold on Volvo’s sales numbers going forward. An anonymous source told Automotive News that Volvo views the car’s demise as being cheaper than continuing sales with tariff costs. “it’s a low-volume car for the U.S. Rather than deal with the tariffs, they are just going to cut it.” That will leave Volvo to focus its attention on its most popular models, the XC40, XC60, and XC90.

Check Out the Volvo S90 Before It Goes Away

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Volvo moved production of its new electric EX30 from China to Belgium earlier this year, which will help with the worst of the announced tariffs. However, Trump’s decision to pause tariffs for 90 days doesn’t cover autos. To compensate, the automaker has ramped up production in the U.S., adding the new EX90 to the production lines in South Carolina. Volvo executives have also said the company would consider its U.S. manufacturing operations, potentially adding another model to its domestic output.

[Images: Volvo]

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Chris Teague

Chris grew up in, under, and around cars, but took the long way around to becoming an automotive writer. After a career in technology consulting and a trip through business school, Chris began writing about the automotive industry as a way to reconnect with his passion and get behind the wheel of a new car every week. He focuses on taking complex industry stories and making them digestible by any reader. Just don’t expect him to stay away from high-mileage Porsches.

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3 of 27 comments

Ras815 on Apr 10, 2025

I probably speak for many when I say...the S90 was still alive?

Like Reply
Dab138833725 on Apr 11, 2025

Anything Chinese is poison. China is the enemy of the United States of America. All trade with training needs stopped now. God bless America and God bless President Trump!

1 Reply
- Slavuta on Apr 11, 2025
  
  You would probably appreciate how Trump's rhetoric actually helps Chinese authorities. It solidifies Chinese people and gives room for the gov to blame their economic miscalculations on problems with US. So, this is a stick with 2 ends.
  
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