Volvo is killing its electric EX40 in the U.S. and refreshing the hybrid XC40 with Google Gemini AI

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The refreshed XC40 mild hybrid gets a larger screen, Google Gemini, and an upgraded safety sensor suite for the 2028 model year

Volvo Cars announced Thursday that it is discontinuing the all-electric EX40 in the United States while giving the hybrid XC40 a significant refresh for the 2028 model year. The updated XC40 will arrive at U.S. dealerships in early 2027, the company said.

For 2028, the XC40 has been updated with exterior styling changes, a bigger touchscreen, Google $GOOGL Gemini voice integration, and a new sensor-based safety platform. Volvo did not disclose pricing. The EX40 will continue to be sold in other markets.

Exterior changes include a new interpretation of Volvo's Thor's Hammer LED headlights alongside a reworked front end — grille, bumper, hood, and front wings — while the rear receives fresh lighting and a new bumper as well. New diamond-cut wheel options come in 18-, 19-, and 20-inch sizes, the company said.

The center display has been enlarged to 11.2 inches — up from 9 — and Volvo's overhauled user interface is designed to get drivers to commonly used functions more quickly. Google Gemini is integrated as the voice assistant, capable of navigation assistance, finding nearby destinations, and managing messages. The interior also gets a new wireless phone charger and updated upholstery and decor options, including Arianne Cardamom leather paired with Brown Ash wood trim, Volvo said.

The safety hardware overhaul comprises updated front and corner radars, a revised forward-facing camera, additional rear corner radars, a dozen ultrasonic sensors, and new parking cameras. Among the new driver-assistance features are alerts that notify occupants of approaching cyclists before they open their doors, automated lane-change support, and an optional 3D/360-degree parking camera that was previously exclusive to larger vehicles in Volvo's lineup.

As for the powertrain, the XC40 will be offered in the U.S. in B5 trim, according to Engadget. Under the hood, the B5 uses a 2.0-liter turbocharged four-cylinder rated at 247 horsepower and 266 pound-feet of torque, mated to an eight-speed automatic and a small electric motor, with Engadget reporting a combined fuel economy rating of 27 mpg.

The EX40 traces its roots to the XC40 Recharge, which debuted in 2019 and was renamed in 2024 as part of Volvo's broader EV branding overhaul; the model never gained significant traction with American buyers, according to The Verge. The EX50, a somewhat bigger electric model built on Volvo's SPA3 platform, is seen as the EX40's eventual successor in the U.S., with The Verge noting a possible arrival by mid-2027.

"By enhancing the XC40's design, technology and safety features, we've created the best version of the XC40 yet," Akhil Krishnan, Interim Lead for the 30 and 40 Series at Volvo Cars, said in a statement. "This already popular model is now set to continue being one of our best-selling cars for years to come."

Production of the new XC40 is set to begin later this fall, the company said.

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