Volvo Pulls US EX40, Revamps XC40 with AI and Sensors, Plans EX50 Launch

Volvo announced it will no longer sell the entry‑level electric EX40 in the United States, while giving its hybrid XC40 a fresh look for next year. The new XC40 will feature a redesigned exterior, a fully updated interior, a larger infotainment screen, and Google’s Gemini AI assistant. Safety will be enhanced with a new sensor‑and‑software suite. Volvo plans to replace the EX40 with the slightly larger EX50, built on the lower‑cost SPA3 platform, which is expected to arrive in U. S. dealerships by mid‑2027 and likely start in the high‑$40,000 range. The hybrid XC40 remains available, continuing to serve as Volvo’s entry‑level model in the U. S. market.