This photograph shows a partial view of a Volvo X30 electric car with the company logo at the Volvo factory in Ghent on April 25, 2025. This factory will produce the Volvo X30 100% electric model for the European market.
Nicolas Tucat | Afp | Getty Images
Shares of Sweden’s Volvo Cars tumbled as much as 19% on Thursday morning, putting the company on track for its worst trading day ever.
The automaker, which is owned by China’s Geely Holding, posted a substantial drop in fourth-quarter operating profit, citing the impact of U.S. tariffs, negative currency effects and weak demand.
Volvo Cars said fourth-quarter operating income excluding items affecting comparability fell by 68% to 1.8 billion Swedish krona ($200.46 million) compared to same period a year prior.
“The company’s fourth quarter performance was affected by several external factors, such as EU-US import tariffs and the negative currency effect of a stronger Swedish krona,” Volvo Cars said in a statement.
“On top of that, revenues were affected by weak demand putting pressure on pricing and the removal of EV incentives in the US, which negatively impacted sales in the quarter,” the company added.
Shares of Volvo Cars were last seen down 16.5%, having pared some of its earlier losses. A single-session fall of more than 11.2% would reflect the firm’s worst trading day ever.
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