Chinese New Year slows Volvo Cars’ sales growth in January

STOCKHOLM (Reuters) -Sweden-based Volvo Car AB said on Friday its sales increased by 2% year-on-year in January to 48,520 cars, but tumbled in China due to public holidays.

Volvo Cars, which is majority-owned by China’s Geely Holding, said the increase at group level was led by markets such as Britain, Italy and Belgium while in China sales fell 20% due to the timing of the Chinese New Year.

Its shares fell 3% on the news in early trade.

In 2022, the Chinese New Year fell in February.

It said fully electric vehicles accounted for 16% of total sales. Recharge models, also including those not fully electric, accounted for 41%.

In December, the car sales growth stood at 13%. In 2022, sales were down 12% for the full year.

(Reporting by Anna Ringstrom, editing by Terje Solsvik and Elaine Hardcastle)