The U.S. is seeing low gas prices this summer, averaging $2.23 per gallon. As a result, consumers are willing to buy gas-combustion vehicles. And yet, car makers must balance the current customer demands with the growing market for electric cars.
Volvo announced today that all of its cars made after 2019 will be electric or hybrid, Reuters reported. In a statement, Volvo noted that five new fully-electric cars will come to market from 2019 to 2021.
This is part of a plan for Volvo to reduce its carbon emissions company-wide, from its cars to its manufacturing plants.
"Volvo Cars has stated that it plans to have sold a total of 1 million electrified cars by 2025. When we said it we meant it. This is how we are going to do it," said Hakan Samuelsson, president of Volvo.
The Swedish car company started building a manufacturing plant in the U.S. in 2015, Fortune noted. The plant will start rolling out cars in 2018 - employing 2,000 workers in the process. It is not clear yet whether this plant will make the electric cars.