MILAN, Italy — Volvo is testing several new concepts with the new XC40, its initial entry in the fast-growing premium compact crossover segment and one that targets the Lexus NX, BMW X3 and Audi Q3.
The baby crossover, introduced here last week, is Volvo’s first vehicle with wireless charging for mobile phones and the first to offer a car-sharing option for family and friends.
It will also be the launching pad for the brand’s all-inclusive subscription service, Care by Volvo, which covers costs such as maintenance, insurance and tire changes. Volvo says the package will be a transparent, hassle-free alternative to leasing or buying the crossover. The service will be rolled out with the XC40 in the U.S. and seven European markets.

Volvo said the service will cost 699 euros ($833) a month across Europe and cover 24 months. The monthly cost for the U.S. will be announced in November at the Los Angeles Auto Show. The automaker’s U.S. arm is looking to offer a shorter subscription period, a spokesman told Automotive News Europe.
Volvo has packed the XC40 with safety and infotainment technologies.
The T5 all-wheel-drive Momentum trim will start at $36,195 at launch. In summer 2018, a T4 front-wheel-drive version will be introduced, starting at $34,195. Prices include shipping.
Volvo will begin taking orders for the crossover in Europe and the U.S. this month. U.S. deliveries are to start in March.
In the U.S., the XC40 will offer a 250-hp four-cylinder 2.0-liter gasoline engine mated to an eight-speed automatic transmission and come with all-wheel drive. Plug-in hybrid and full-electric variants will arrive later, Volvo said without being more specific. In Europe, a diesel version will also be available.
The XC40 is the first Volvo based on the compact modular architecture co-developed with sibling brand Geely Automobile. Production will start in November at Volvo’s factory in Ghent, Belgium. Volvo also plans to make the XC40 in Luqiao, China, for the local market.
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