Published

13/02/2026 às 20:06

In the global automotive industry, the CEO of Volvo stated that electric cars could become cheaper than combustion engine models within 5 years, driving a structural shift in the market and attracting the attention of consumers and automakers.

The price of electric cars may be on the verge of a transformation that few imagined a few years ago.

The projection is clear: within five years, electric vehicles are expected to cost less than combustion engine models.

The statement was made by Volvo CEO Håkan Samuelsson and is mainly based on the rapidly falling cost of batteries and the evolution of industrial processes geared towards electrification.

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What seemed impossible a decade ago is beginning to take on the contours of economic reality.

The drop in battery costs is changing the pricing logic of electric cars.

The main factor behind this potential shift is the cost of batteries.

Batteries represent a significant portion of the final cost of an electric car. When this component becomes cheaper, the impact on the total price is direct.

According to Volvo’s CEO, this reduction is due to several reasons, such as technological advancements, a greater supply of raw materials, and industrial gains throughout the production chain.

This set of factors accelerates the competitiveness of electric vehicles compared to traditional models.

Large-scale production and standardized platforms reduce costs.

Another crucial point is the scale of production.

As automakers increase volumes and standardize platforms, costs become diluted. This makes manufacturing more efficient and predictable.

With more mature industrial processes and streamlined production chains, the additional costs of electrification no longer weigh as heavily as they did in the past.

According to experts, this moment could represent a turning point in the global automotive industry.

Factory efficiency is gaining more weight than the initial cost of the technology.

The price of electric cars also directly reflects the efficiency of the factories.

With increased production volume and engineering adjustments, the unit cost tends to fall. This trend is already underway and should intensify in the coming years.

In this scenario, the initial cost of electric technologies ceases to be the main structural obstacle to mass adoption.

The change is not just environmental, but also economic and industrial.

In addition to cost reduction, profitability is also part of the discussion.

Håkan Samuelsson stated that Volvo is already operating profitably with its electrified vehicle portfolio. Unlike competitors that are accumulating losses, the brand maintains positive margins, albeit lower than those of its combustion engine models.

According to the executive, the company does not sell electric cars at a loss in order to gain market share.

This strategy reinforces the financial sustainability of the transition and indicates that electrification can be economically viable.

Structural shift could redefine the global automotive market.

With the trend of structurally decreasing costs, the balance of the automotive market could change significantly.

Consumers are beginning to see electric cars not only as an environmental choice, but also as an economic decision.

If the five-year projection is confirmed, the impact will be direct on the competitiveness between technologies and on the strategy of automakers worldwide.

This change could mark a new phase in the automotive industry, where electrification and competitive pricing go hand in hand.

Do you believe that electric cars will actually become cheaper than combustion engine models in the next five years? Share your opinion.