Volvo drives for more sales

The Swedish carmaker yesterday launched the Volvo V60 DRIVe, which can run on E85 gasohol, which is 85 per cent ethanol.

"Volvo will be introducing several new products this year, and the first is the V60 DRIVe," said Chanthana Wattanarom, president of Volvo Car (Thailand).

This year Volvo hopes to sell 300-400 units of the new model, priced at Bt2.25 million, she said.

The V60 DRIVe is highly popular among the new generation looking for a luxury station wagon with Scandinavian design, high safety levels and E85 compatibility, she said.

"The new model is able to compete more effectively in the luxury-car market thanks to the highly attractive pricing. The V60 DRIVe is assembled in Malaysia and imported under Afta," she said, referring to the Asean Free Trade Agreement.

With Japanese brands still suffering from delivery problems, Volvo has become another interesting option for car buyers.

The luxury-car market in 2012 is expected to reach similar levels as last year, with total sales of about 10,000 units.

"But the entry of the Volvo S60 DRIVe will help stimulate the luxury-car market further," Chanthana said. "Volvo has always dominated the luxury-station-wagon market with a share of almost 100 per cent.

"More important, this market has high growth potential because it is made up of buyers from young families – 35-45 years old – with an active lifestyle."

There are 3 million potential customers for the V60, she added.

Yodpho Wongrukmit, acting vice president for marketing at Bangchak Petroleum, said it had been expanding its E85 retailing network.

"We hope to increase the number of E85 stations to 50 this year if the government is clear with its policy of scrapping 91-octane petrol on October 1," he said.

About 10,000 vehicles in the country can use E85, and consumption of that high-ethanol fuel reached 5.3 million litres last year.