HCLTech has announced a strategic collaboration with Volvo Cars to advance the automaker’s engineering transformation. As one of Volvo Cars’ selected strategic suppliers for engineering services, HCLTech will play a key role in supporting the brand’s ambition to lead the future of mobility with sustainable, personal, and safe transportation solutions.

This engagement builds upon an established relationship between the two companies in digital and Product Lifecycle Management (PLM) services. The latest agreement significantly expands HCLTech’s role to deliver comprehensive end-to-end engineering solutions at scale. These services will be executed through HCLTech’s automotive Centre of Excellence located in Gothenburg, Sweden, along with its global network of offshore and nearshore delivery centers.

Pankaj Tagra, Corporate Vice President for Manufacturing and Allied Industries (Europe) at HCLTech, emphasized the significance of this expanded partnership: “We are proud to broaden our relationship with Volvo Cars at such a pivotal moment in its transformation journey. HCLTech is investing substantially in next-generation automotive engineering. This strategic engagement reflects our commitment to delivering high-performance, future-ready engineering solutions that help shape the mobility of tomorrow.”

Tagra further noted that the collaboration cements HCLTech’s growing reputation as a trusted strategic engineering partner to leading automotive companies worldwide. As the industry embraces digital transformation and sustainable mobility, HCLTech’s scalable and innovative solutions continue to support the evolution of smart, connected, and eco-friendly vehicles.

Volvo is facing tough times as the Swedish carmaker recently announced 3,000 jobs as a part of a restructure due to the high costs and low demand for electric vehicles. Amid ongoing uncertainty surrounding U.S. tariffs, the situation could further deteriorate for the Sweden-based automaker. Last month, the company announced a restructuring initiative aimed at reducing costs by approximately $1.89 billion, which also includes halting planned future investments. Volvo Cars is currently owned by China’s Geely Holding.