Volvo Car Corp. started exporting the XC60 compact crossover assembled in the south China city of Chengdu to Europe under plans to use China as a production hub for global markets.
The first wave of XC60s arrived by train in Ghent, Belgium, earlier this month, Volvo said, without disclosing the volume of the shipment.
From Ghent, gasoline and plug-in hybrid versions of the XC60 will be transported and distributed in 25 European countries, including Belgium, the United Kingdom, France, Italy, Germany and the Netherlands.
The XC60 is the second China-built model Volvo is exporting to Europe. In 2017, the Swedish brand began shipping the S90 large sedan assembled at a plant in the northeast China city of Daqing.
In 2015, Volvo started shipping the S60 compact car produced at the Chengdu plant to the United States. But the exports have been subjected to a 25 percent tariff the Trump administration imposed on China-made vehicles in 2018.
China is Volvo’s largest market worldwide. With demand for luxury brands still strong, Volvo’s China sales rose 10 percent to 67,741 vehicles in the first half.