As the electric vehicle price-cut offensive led by Tesla continues to spread, Volvo Car Korea has also lowered electric vehicle prices to as low as the 30 million won range.
Volvo Car Korea said on the 20th that it will cut the official sales prices of the pure electric sport utility vehicles (SUVs) "EX30" and "EX30 Cross Country (EX30CC)" effective Mar. 1.
Accordingly, the EX30 Core trim will be reduced by 7.61 million won, from 47.52 million won to 39.91 million won. The EX30 Ultra trim and EX30CC Ultra trim will also drop by 7 million won each, to 44.79 million won and 48.12 million won, respectively. These prices reflect eco-friendly vehicle tax benefits.
Lee Yun-mo, head of Volvo Car Korea, said, "This price cut was decided after intense consultations with headquarters to reflect the importance of the Korean market," adding, "With the EX30 and EX30CC, which now also have price competitiveness, we will lead the popularization of premium electric vehicles."
With subsidies for electric vehicles added to this price cut, the final purchase price comes down even further. For example, reflecting the electric vehicle subsidies expected under Seoul's criteria, the EX30 Core trim and Ultra trim would receive 3.21 million won in subsidies and could be purchased for 36.7 million won and 41.58 million won, respectively. The EX30CC Ultra trim would receive 2.88 million won in subsidies and could be purchased for 45.24 million won.
Recently, price competition in Korea's electric vehicle market has been intensifying. Tesla opened the floodgates. Tesla cut prices for the "Model 3" and "Model Y" by up to 9.4 million won. As a result, after applying various subsidies, the actual purchase price of the "Model 3 Standard (rear-wheel drive)" falls into the 30 million won range.
Renault Korea said it will provide up to 8 million won in its own subsidies when purchasing the electric SUV "Scenic," and BYD set the pre-subsidy price of the small electric hatchback "Dolphin" at 24.5 million won.
In response, domestic automakers have also jumped into discount battles to defend market share. Hyundai Motor is offering discounts of up to 5.9 million won on the "Ioniq 5," focusing on inventory units, and up to 5.5 million won on the "Ioniq 6." Kia has also offered purchase benefits worth up to 6 million won for the large electric SUV "EV9." The price of the "EV5 Long Range" has been adjusted to 45.75 million won for the entry-level "Air" trim. With subsidies added, it can be purchased in the 30 million won range.