Volvo are not a company that would usually feature very highly in a conversation about hot hatches, but that’s not to say they can’t make interesting cars. Just look at the 850 T5 for a lesson in how to make a boxy estate car interesting!

However, with the current downturn in the global economy it looks like Volvo are having second thoughts about their planned C30 R. It was to be the flagship model for the C30 range, but with it’s rumoured 350bhp engine and all-wheel drive it would be thirsty and difficult to sell at a time when buyers are increasingly concerned about fuel costs and road tax.

That’s a shame, especially when you consider the success Ford have had with their Focus ST, which uses a tuned version of a Volvo 5-cylinder engine.

Source: Motor Authority