Volvo Three-Row SUV: Full-Size Flagship Under Evaluation for U.S. and China

On January 22, Volvo Cars signaled that it is studying the addition of a Volvo three-row SUV positioned above its current offerings, as the automaker assesses opportunities in the high-margin full-size SUV segment. The potential model would be aimed at competing directly with established luxury rivals in the U.S. and Chinese markets, though no final decision has been taken.
At a press conference held at the company’s headquarters in Stockholm, CEO Hakan Samuelsson said Volvo is exploring the idea of introducing a larger, full-size utility vehicle with three rows of seating. He clarified that the concept remains under evaluation and has not yet received internal approval.

Volvo’s full-size SUV positioning strategy

Samuelsson indicated that the proposed SUV would target the same customer space as the Mercedes-Benz GLS and BMW X7, both of which have seen strong demand in North America and China. Expanding into this segment would represent a step beyond Volvo’s current flagship XC90. The idea aligns with Volvo’s broader effort to strengthen its premium positioning while increasing its footprint in the U.S. market, where larger SUVs continue to account for a significant share of luxury vehicle sales.

U.S. production plans and hybrid focus

In September 2025, Volvo announced plans to start producing the XC60 crossover in late 2026 at its Ridgeville, South Carolina plant. This would be followed by a next-generation hybrid model later in the decade, described by the company as being designed specifically for U.S. customer requirements. The USD 1.3 billion facility currently builds the Volvo EX90 and Polestar 3, and it plays a central role in Volvo’s long-term North American manufacturing strategy.

Uncertainty around model identity

Samuelsson declined to confirm whether the next-generation hybrid planned for U.S. production could be the proposed three-row utility. However, he described the future hybrid as “very attractive for U.S. customers” and suggested it could be “maybe a bigger one. Let’s see.” This comment leaves open the possibility that the Volvo three-row SUV could be closely linked to the company’s upcoming hybrid roadmap.

Powertrain expectations and platform options

The hybrid under consideration is expected to use an extended-range powertrain capable of delivering up to around 100 miles of electric-only driving, combined with performance characteristics similar to a battery-electric vehicle. Such specifications would position it competitively against both plug-in hybrids and fully electric rivals. Platform decisions have not yet been finalized. Volvo could adapt its SPA2 architecture or leverage technology from parent company Geely, whose Zeekr brand already offers the 9X, a full-size three-row SUV.

Reviving a previously shelved flagship concept

The renewed discussion around a large SUV echoes an earlier internal project teased in August 2020. Known internally as the XC100, that vehicle was envisioned as a more spacious flagship above the XC90 and was once targeted for U.S. production by 2023 before the program was ultimately canceled. Revisiting this concept reflects how shifting market demand, particularly for large SUVs in key regions, is prompting Volvo to reassess opportunities that were previously set aside.