Volvo Cars brings back former boss to provide ‘steady hand’

Unlock the editor’s digest in free

FT editor Raula Khalaf selected his favorite stories in this weekly newsletter.

Volvo cars bring back the former boss Hakan Samuelson to provide the “steady hand” needed to navigate geopolitical turmoil and cut-neck competition.

Samuelson, aged 743 this month, has served as the chief executive of the group for a decade until 2022. Under Jim Rowan, the company’s share price has decreased by 66 percent in the last three years because it fought in the slow-rejected shift of the industry Electric vehicleThe

Samuelson Samuelson, who launched a two -year term on Monday in a statement on Sunday, is under pressure from many aspects. ” “I am honored to return to such a defined moment for Volvo cars.”

After Rowan suddenly resigned, he recently came after warning about a “extremely challenging year” for low profits and agencies, partially due to uncertainty due to US President Donald Trump’s trade policies. Rowan could not be reached immediately for comments.

“The industry is probably the highest pressure so far it is not just an internal problem for Volvo. At that time you have only one chance you need to play a safe card,” said a person close to the Gothenberg -based car manufacturers.

Analysts say the car manufacturers will strictly hit the United States, depending on export from Europe for sale in the United States.

Depending on the level of the tariff, Volvo cars say it wants to increase production in South Carolina. However, it cannot completely protect it from tariffs because even locally produced cars use high amounts of content in the United States. The agency is also open to government sanctions on Chinese software in the United States.

To solve the EU’s higher tariffs in the import of electric vehicles made in China, Volvo cars will produce its external EV model from Belgium’s Ghant Plant as well as China from this year.

Gilli founder Eric Lee, who is the chairman of the Volvo Car board, referred to the reason for bringing back Samuelson’s “art depth” and “proven leadership”.

Lee added, “As the industry enters a more complex stage, we believe that his experience and steady hand are exactly what is needed to strengthen the global position of Volvo cars,” Lee added.

A person familiar with the thought of the board said that Volvo cars need to be prepared for a “more rigid future” for which Samuelson should try to unlock more benefits from Chinese ownership, including access to cheap suppliers.

A person close to the company said that Gilly Volvo was disappointed with the vehicle evaluation, which Samuelson supervised since the initial public offer in Stockholm in 2021.

In addition to his steady record, the person said that Samuelson was also popular with both employees and car dealers.

The Swedish car maker quit plans to sell only electric cars in the late last year.

Volvo cars will also be damaged due to the relaxation of the EU emission targets as it may lose some income from the sale of credit to rivals behind it to reduce carbon emissions.