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The main changes were made to the engine. The 1974 240 series retained the B20A 4-cylinder engine from the 140 Series, with the new B21A engine available as an option on the 240 DL models. The new B21 engine was a 2127cc, 4-cylinder unit, which had a cast iron block, a five-bearing crankshaft, and a belt-driven overhead camshaft. This engine produced 97bhp for the B21A carburettor 242DL, 244DL and 245DL, and 123bhp for the B21E fuel-injected 244GL.
The 264 models had a completely new V6 B27E engine. This engine (which was called the Douvrin engine) was developed jointly by Peugeot, Renault and Volvo (hence the nickname "PRV"). The B27E engine had a capacity of 2664cc, and which was fitted with an aluminium alloy block and wet cylinder liners. This engine produced 140bhp for both the 264DL and 264GL. All models were available with a choice between 4-speed manual gearbox, with a 3-speed automatic gearbox being available as an option on all models. Overdrive was also optional on the manual 244GL, while a 5-speed manual gearbox was optional on the 264GL.
The front end of the car was also completely restyled that being the most obvious change of which made the 200 Series distinguishable from the earlier 140 and 160 Series. Other than all the changes mentioned above, the 200 Series was almost identical to the 140 and 160 Series from the bulkhead to the very rear end. Even the dashboard was the same as that fitted to the 1973-74 140 and 160 series. In true Volvo style, the 200-series offered high levels of comfort and safety protection features.
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