Volvo has disclosed plans to develop a smaller crossover which will likely be commercialized with the "XC40" moniker, thus confirming a rumor from 2013.

In an interview with Autocar, Volvo chairman Hakan Samuelsson said "a small SUV is very high on our wish list", thus basically confirming an entry-level crossover is in the works and will likely end up being the XC40. The model promises to "provide customers with an SUV that is small in stature but remains premium in nature."

The forthcoming XC40 will likely ride on the CMA - Compact Modular Architecture which is being developed by Volvo in collaboration with parent company Geely. We should expect the compact crossover to come out within the next four years as Samuelsson said the second-gen XC90 will be the oldest model in the range by 2018.

He went on to specify there aren't any further model lineup expansion plans so Volvo will have to rely on its current models and the XC40 to boost sales from around 450,000 units to 800,000 cars per year by the end of the decade.

Note: Volvo V40 Cross Country pictured.

Gallery: Volvo announces smaller crossover planned, likely the XC40

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