Volvo is steering towards a future without estate cars, moving away from a body style that has been a key part of its heritage for 70 years.
The Swedish automaker has decided to discontinue estate models, instead prioritizing more popular body types, particularly SUVs.
With Volvo long associated with the station wagon, this decision is likely to disappoint traditionalists.
The company introduced its first estate car, the Duett, in 1953. Marketed as “two cars in one” for both work and leisure, the model’s extended proportions made it a versatile choice.
Since then, Volvo has produced and sold over six million estate cars. The 260-Series helped estates gain popularity in the UK during the 1970s, while models like the 740 and 760 further cemented their status in the 1980s and early 1990s.
Now, as Volvo joins the ranks of automakers shifting their focus to SUVs and hatchbacks, we take a look at other manufacturers that have phased out estate cars.
Additionally, we explore the reasons behind the declining sales of this once-popular family vehicle and whether the electric revolution might provide a lifeline for estate models.
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Volvo CEO Confirms the Shift Away from Estates
Speaking at the launch of the all-new ES90 electric saloon in Sweden last week, Volvo CEO Jim Rowan confirmed that the company will concentrate on SUVs and saloons going forward.
When asked whether Volvo estates have a future, Rowan responded: “Yes. Because I think [the market has] changed, right?”
He elaborated on the financial challenges of maintaining estate models: “It’s expensive to bring different models to the market, and it’s expensive to keep those models in the market.”
This has led Volvo to reassess its lineup, as Rowan explained: “So, we need to make a choice: rather than bring out a [new] V90 for example, are we better to position that car in a slightly different way?
So we have the Black Editions, we have the Cross Country editions – we now have different editions of the same base car.”
The primary factor influencing this decision? Profitability.
Rowan made it clear: “It’s much, much cheaper, and much more cost-effective for us to drive more volume through that same platform and that same form factor.”
Volvo’s Estate Car Exit Isn’t a New Idea
This is not the first time Volvo has announced its departure from the estate market.
In 2023, Volvo UK removed its remaining estate models—the V60 and V90—from showrooms across Britain.
At the time, a spokesperson told This is Money: “We continue to rapidly transform our product offer, which means not only moving towards full electrification, but also shifting to new platforms and technologies across all our cars.”
The company stated that its evolving lineup was part of a strategic move: “We will naturally need to evolve and consolidate our line-up as we prioritise fully electric cars and make this technological transition.”
The V60 and V90 were among the models removed from the UK market, along with the S60 saloon.
Though this decision initially applied only to the UK, Volvo cited dwindling demand as a key reason: “Appetite for our saloon and estate models has fallen to very low levels.”
However, as history would later show, this move was not set in stone.
The Estate Car Market Continues to Shrink
Volvo’s departure from estate cars is significant, given its long-standing association with the segment. But it is not the only automaker to abandon estates.
Alfa Romeo made a similar decision in 2017, confirming there would be no estate version of its family saloon models.
The company scrapped the ‘Sportwagon’ variant because executives believed SUV models could fulfill the needs of estate buyers.
Alfredo Altavilla, Fiat-Chrysler Automobiles’ chief operating officer at the time, explained: “We decided not to do a Giulia Sportwagon. Do we really need it if the Stelvio SUV drives that well? Maybe not. With our fine-tuning, the Stelvio can capture all the people who would otherwise have been interested in the SW.”
Renault also revised its estate car lineup, replacing the internal combustion engine Megane with the electric E-Tech variant, which no longer includes an estate option.
With a price range between £18,570 and £33,490, the previous-generation Megane estate provided a practical yet stylish choice for families and commuters.
On the other hand, Volkswagen has taken a different approach. The latest Passat, launched last year, is now exclusively available as an estate, following customer feedback.
The SUV Boom and Decline of Estates
Consumer preferences in the car market, like in other industries, evolve with trends and fashion. And currently, estate cars are out of favor.
In contrast, SUVs are dominating the market.
This shift has been well-documented by This is Money, highlighting the ongoing rise of SUVs in Britain.
For the first time in history, SUVs became the UK’s best-selling type of new car.
In 2024 alone, SUVs accounted for 33% of all new car registrations—an increase from just 12% a decade earlier, according to The Society of Motor Manufacturers and Traders (SMMT).
Of the ten best-selling cars in 2024, eight were SUVs or crossovers, pushing conventional hatchbacks and saloons further down the rankings.
Estate cars have been hit particularly hard, with only 110,000 new estate registrations in the UK in 2023.
Despite its rich history with estate models, Volvo has twice made this decision, citing its goal to “prioritise fully electric cars.”
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Will Estate Cars Make a Comeback?
Ironically, Volvo’s decision to discontinue estates has only increased demand.
When the company first removed the V60 and V90 from the UK lineup in 2023, customer interest surged, forcing Volvo to reconsider.
By June 2024, the automaker announced: “We removed the V60 and V90 from sale in the UK last August amid falling appetite for estate cars.
While this remains a long-term trend, we have seen a resurgence for our estate products in recent months and have decided to reintroduce the V60 and V90 to our UK portfolio in response to this.”
The company confirmed it would resume taking orders the following month.
Volvo acknowledged the passionate response from customers: “We were thrilled by the many comments from customers and media last year, with many stories and memories of how our estate cars have been a huge part of their lives. We look forward to helping create more!”
The latest announcement may once again ignite opposition from estate car enthusiasts.
