Volvo Group targets net zero emissions by 2040

Commercial equipment manufacturer Volvo Group is targeting net zero emissions for the company’s entire production line, including trucks and equipment, by 2040. 

Volvo Group also discussed future environmental goals during a keynote presentation at the Consumer Electronics Show in Las Vegas today. In addition to net zero targets. CEO Martin Lundstedt addressed the firm’s electric truck market share. 

“Volvo Group is fully committed to achieving net zero emissions by 2040, and we have successfully launched battery powered trucks, dumpers, haulers, excavators, buses, boats across Europe, North America, United States and many other regions,” he said. “We lead in this field, holding half of the e-truck market in North America and an impressive 70% in Europe.” 

Green opportunities 

Despite its large EV market share, the company continues to work with trucking industry experts to evaluate and ensure the future of the market, Lundstedt said. 

“When you talk to both truck drivers, fleet owners and anyone in and around the trucking industry, once you made the shift, you don’t want to go back,” he said. “Red side effects are turning into green opportunities.” 

To further support the growth of EVs, Volvo is also looking to technology like AI, Lundstedt said. 

“We also aim to grow in services to support this transition, obviously pioneering artificial intelligence connectivity as part of the twin transformation,” he said, “We have almost 2 million connected assets that we can leverage together with our customers and other partners in the value chain.” 

Charged up? 

Still, the biggest challenge facing Volvo Group’s decarbonization strategy is the lack of charging infrastructure for heavy vehicles, especially considering the time required to develop charging stations and substations.  

“We need 40,000 fast charging stations by 2030 but currently we only have 500, so we need continue to invest, as infrastructure investment and smart policy are lagging behind,” he said. “We need grid modernization and institutional reform in the United States, as it can take one to two years to secure permits for charging stations, three to five years to upgrade distribution and 10 to 20 years to build substations.” 

Despite the limitations, the company has delivered heavy duty Volvo VNR electric trucks across 19 U.S. states and Canadian provinces. It also delivered electric Volvo Trucks to 49 countries, Lars Stenqvist, chief technology officer at Volvo, said during the presentation.  

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