Volvo returns to the basics of the auto industry with a sudden switch key

Written by Mary Manz and Nick Carey

STOCKHOLM/London (Reuters) – Volvo’s sudden car resolution to benefit from Hakan Samuelson, where the CEO of the Old Warriors Company in the auto industry is responsible for directing the auto industry through the disturbance of US President Donald Trump’s tariff and the volatile transition to electric cars, analysts and investors.

Samuelsson, who led the Swedish auto manufacturer for a decade from 2012 to 2022, helped to activate the Volvo brand and supervised the company’s initial public offering in 2021 on the Stockholm Stock Exchange.

He was also running Volvo during the first period of Trump, as the company built a car assembly factory in South Carolina, a step that may be important if Trump advances and slapped a 25 % tariff on US car imports on Wednesday.

The background of his auto industry contrasts with outgoing CEO Jim Rawan, who joined Dyson 2022 without any experience in the auto industry.

Rawan was an unconventional option with a three -year profession in consumer and technology sectors. But at the time, the auto manufacturer said that Rawan’s experience, disruption, innovation, engineering and supply will be valuable.

Volvo Cars Eric Li, also known as Li Shrufu, said that the Samuelsson experience was exactly what is required because the auto industry enters a more complicated stage.

“We know that Hakan Samuelson is a very knowledgeable and very experienced leader in this industry,” said Kareena Silberg, Head of Governance and ESG at Alexa, the fifth largest contributor to Volvo cars.

“But … Samuilson is not a magician, he also needs help from a strong strategy in which the board of directors play a central role,” said Linton’s ambassador, chief legal official at the Swedish shareholder Association, who represents young shareholders in Volvo.

Other investors and analysts in research and interviews with Reuters said they were surprised by the news, but they repeated the opinion that Volvo returns to his roots.

Samuelsson, 74, was set in a two -year work period while the company is looking for a long -term alternative.

Volvo shares, which decreased by almost 70 % since the group list for 2021, decreased slightly on Monday, reaching the lowest new level ever although this step was in line with the broader market in Stockholm, which decreased by approximately 2 %.

“For me, it was unexpected, the share price was clearly weak in the automotive industry, but on the other side operating, the company was better,” said Handelsbanken Hampus Engellau analyst.

Samuelsson’s return at the head of Volvo also comes at a difficult time for the owner of the Swedish auto manufacturer, Geely, Chinese, which has 78.7 % of Volvo shares.