Volvo Cars said that the 2027 EX60 electric SUV will be priced lower than the XC60 plug-in hybrid [1, 2].
This pricing strategy marks a significant shift in the luxury EV market by attempting to remove the price premium typically associated with electric powertrains. By undercutting its own hybrid model, Volvo said it aims to make electric vehicles as accessible as gasoline cars and capture the high-volume XC60 customer segment [2, 5].
The 2027 Volvo EX60 will carry a starting price of $58,400 [3]. This positioning allows the vehicle to undercut competitors such as the BMW iX3 while remaining only slightly more expensive than a standard gasoline-powered XC60 [2, 4].
Performance specifications for the new SUV indicate a range of over 300 miles [1]. Some reports suggest the vehicle could achieve a maximum range of up to 400 miles [3]. These figures are designed to alleviate range anxiety for buyers transitioning from internal combustion engines, a key hurdle for mass EV adoption.
Volvo said it expects the U.S. launch to occur in late summer 2027 [3, 4]. The company is focusing on the United States market as a primary battleground for this pricing transition [1, 4].
The move comes as several automotive giants re-evaluate their electric vehicle roadmaps. While some manufacturers have scaled back targets, Volvo said it is doubling down on the accessibility of its electric fleet to ensure the EX60 competes directly with traditional luxury SUVs [5].
“The 2027 Volvo EX60 will carry a starting price of $58,400.”
Volvo's decision to price the EX60 below its plug-in hybrid equivalent suggests a strategic pivot toward volume over margin. By eliminating the 'electric tax,' Volvo is betting that a lower entry price will accelerate the transition of luxury buyers away from hybrids and directly into full EVs, potentially forcing other luxury automakers to lower their prices to remain competitive in the mid-size SUV segment.
