Volvo Can Keep Selling Cars In The U.S.

The U.S. Department of Commerce approved Volvo Cars, majority-owned by China’s Geely Holding, to keep selling vehicles in the U.S. despite restrictions on Chinese-made cars and software. The approval, announced May 26, allows Volvo to continue importing connected vehicles, following a process initiated due to its Chinese ownership. The decision comes after the Biden administration’s 2025 rules banned most Chinese-developed vehicle software starting with the 2027 model year. Volvo stated it was required to seek authorization to maintain its U.S. operations, emphasizing the approval supports its growth plans. The move contrasts with broader U.S. efforts to limit Chinese tech influence in automotive hardware and software, with lawmakers considering stricter measures. Meanwhile, Ferrari’s debut electric vehicle, the Luce, received a lukewarm response from investors and critics. The €550,000 ($640,000) four-door EV, designed with former Apple design chief Jony Ive, sparked backlash for straying from Ferrari’s traditional identity. The company’s Milan-listed shares dropped 8.4%, while New York-listed shares fell 5.1%, reflecting concerns over the vehicle’s design and Ferrari’s expansion into electric models. Analysts noted the share decline reflected broader market skepticism, with critics calling the Luce’s design uninspired and its specs underwhelming for its price. The Luce’s front-end styling, described as resembling a Ford Maverick, drew particular criticism for failing to align with Ferrari’s high-performance image. Ferrari’s struggle with electrification highlights challenges for luxury automakers transitioning to electric vehicles while maintaining brand prestige. The company’s stock performance underscores investor caution amid shifting consumer preferences and competitive pressures in the EV market.