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SEARCHVolvo has unveiled its new XC40 in Milan, Italy, and a new vehicle subscription plan aimed at driving its luxury compact SUV off dealer lots.
Photo of XC40 by Volvo.
Photo of XC40 by Volvo.
Volvo has unveiled its new XC40 in Milan, Italy, and a new vehicle subscription plan aimed at driving its luxury compact SUV off dealer lots.
The XC40 represents Volvo's entry into the luxury crossover segment that also includes the Audi Q3, BMW X3, and Lexus NX. The Care by Volvo subscription model, a new take on leasing, mirrors similar offerings from by Cadillac and Hyundai.
Volvo hopes the XC40 will help it increase sales by 50% to 800,000 vehicles by 2020, reports Automotive News.
Care by Volvo, which has been rolled out in Europe and will eventually be offered in the U.S., would be offered alongside traditional purchase and leasing options. A flat monthly rate includes scheduled maintenance, insurance, wear and tear items, and protection services. The service allows a user to upgrade to a new vehicle as soon as 12 months, according to Volvo.
The XC40 will initially be offered with two four-cylinder engine choices, including a D4 diesel or T5 gasoline engine. For improved fuel economy, buyers will eventually be able to choose an XC40 with a three-cylinder engine. Volvo also plans to offer battery-electric and hybrid models in the future.
The compact SUV will offer an array of advanced safety systems, including the latest generation of City Safety and the company's semi-autonomous Pilot Assist system.
The XC40 will be produced in Ghent, Belgium. Production begins in November.
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