Volvo Cars chief executive Håkan Samuelsson, who came out of retirement in April 2025 following a slump in the company's share price and struggles with the costly transition to electric vehicles, is to step down. Volvo has appointed the former boss of Škoda, Klaus Zellmer, as his successor, promising "a seamless transition". Zellmer will take over the top position by October 1 next year.

Since his return, the 75-year-old, who served as Volvo's chief executive for a decade until 2022, has implemented widescale restructuring at the Geely-owned Swedish carmaker, seeking deeper integration with the Chinese auto group's supply chain to bring down hardware costs. Li Shufu, Geely's founder and chair of Volvo Cars, said the board was confident the group would strengthen its position as a leading premium car company under Zellmer's leadership.

The company last week unveiled an aggressive plan to launch 13 new models by the end of the decade and pursue further cost savings targeting an operating profit margin of 8 per cent, compared with just 1.1 per cent in the second quarter. Volvo also said it would pursue a more regionalised strategy for products and manufacturing, with vehicles developed specifically for the Chinese market and separate software for China and western markets.