The US market is one of the most important for Volvo Cars. So the decision of building a factory here is welcomed by both public and Volvo US division. The Swedish manufacturer announced that will target an industrial investment of $500 million USD in a new car plant.
The company has drawn up a short list of potential locations. Full details regarding the location of the new factory and the size of the investment will be announced later.
The future car plant will make Volvo a ruly global manufacturer with assembly presence in three continents. It has two factories in Europe, two in China and the future plant in the US, which will be part of the Americas region that was announced in January.
These developments form part of Volvo’s transformation that has been ongoing since 2010. The transformation plan involves the creation of a global industrial footprint, the complete renewal of Volvo’s product range over the next four years, the introduction of a new modular vehicle technology, the development of world-first safety technologies, a new design language and a range of class-leading connectivity services.
Volvo Cars has been doing business in the US since 1955. The new plant means Volvo will be able to meet and even exceed its volume targets in the US, where it has a medium term ambition to sell 100,000 cars a year. It will also help to accelerate the introduction of build-to-order in the US.