The Swedish automaker Volvo Cars recently reported a drop in global sales in August of 10.6 percent compared with the same period last year.
According to media CB, overall underlying demand for Volvo Car’s products have remained robust and Volvo Cars sold a total of 45,786 cars last month but covid-19 related supplier shut-downs in Asia, especially in Malaysia, has worsened an already strained supply situation.
The supply shortages in Asia have led to reduced production volumes because it temporarily halted production at some of Volvo Cars facilities in, amongst others, Sweden and China.
In the first eight months of the year, the Swedish automaker sold a total of 483,426 cars worldwide which is an increase of 26.1 percent compared to last year.
Volvo Cars will continue to monitor the supply shortage situation but expect for the second half of 2021that it will be challenging to achieve the volume levels achieved during the same period last year and that will impact Volvo Cars revenue and profit.