Volvo to replace its V40 with the all-new XC40

One of the safest carmakers in the world, Volvo, has decided to set up a technology centre in Sweden in order to start the manufacturing of the all-new XC40 which will take on the likes of Audi Q3, and replace the existing V40.

In order to take on the compact SUV market by storm, Volvo’s parent company Geely has decided to ramp-up the process of developing a new generation of smaller Volvo SUVs. The first one to be developed under this strategic move will the XC40, which will not only replace the existing V40, but also try to make a dent in the sales figures of the Ford Focus.

In order to make it happen at a bigger level, Geely has established the China Euro Vehicle Technology (CEVT) in Gothenburg, Sweden. This facility will be able to engineer entire vehicles from the ground up. This development will excel in producing the C-segment cars only.

This car will be Volvo’s third offering in the SUV market after the XC90 and XC80. Another interesting addition will be of a 1.5-litre petrol engine which will be made as per Volvo’s global quality standard system. So, using this engine globally and in Volvo’s future cars is also highly probable.

The new Volvo XC40 is expected to be launched sometime in 2016, and should also head to the Indian shores soon after.