A change of course from Swedish carmaker Volvo Cars which has announced it is abandoning its short-term goal of selling only electric vehicles, citing the need to demonstrate “realism and flexibility” amid changing market conditions on the one hand and sluggish demand on the other.

Volvo Cars, controlled by China’s Geely Holding, was among them of the first traditional car manufacturers who had committed to a full transition to electric cars.

However, he pointed out that in the long term, its aim for a full transition to electrification does not change.

For now, however, Volvo Cars has announced that it is setting a goal by 2030 90-100% of the cars it sells to be either pure electric or plug-in hybrid, while leaving little room (up to 10%) for sales of a limited number of mild hybrid models.

The new target replaces the commitment it announced in 2021 for a full range of electric vehicles by the end of the decade.

Essentially, Volvo Cars follows in the footsteps of other companies in the industry which also took a step back in their electrification ambitions. German automakers Mercedes-Benz and Volkswagen have also revised their electric vehicle strategy.

“An electric vehicle provides a superior driving experience and enhances the possibilities of using advanced technology that can improve the overall user experience” said in his written statement Jim Rowan, CEO of Volvo Cars.

“However, it is clear that the transition to electrification will not be horizontal, with consumers and markets moving at different speeds” completed.

“We demonstrate realism and flexibility while maintaining our leadership position in electrification and sustainability” he said.

It is noted that the shares of Volvo Cars registered a drop of more than 4% on Wednesday.