Volvo Cars has announced South Carolina as the location of its new $500 million production facility. The new plant will have initial annual production of around 100,000 cars and be located in Berkeley County. Construction will begin in autumn 2015, with the first vehicles expected to roll off the assembly line in 2018.
Volvo stated that the South Carolina facility will manufacture the latest generation Volvo models for sale in the United States and for export. The company currently operates two plants in Europe and two in China.
The new US plant forms part of an ambitious medium term expansion plan to double global sales, boost market share and lift profitability. “This new global industrial footprint and a complete product renewal forms the foundation for our growth and profitability targets,” stated Håkan Samuelsson, President and Chief Executive.
Volvo sees the US as an important market. The company has been doing business in the US since 1955 and has a medium term target to sell at least 100,000 cars a year. “Building a plant in the US is a reflection of Volvo Cars’ commitment to the US and the key role the US plays in our growth objectives,” stated Lex Kerssemakers, Senior Vice President Americas.
“The US remains one of the most dynamic economies in the world and Volvo Cars believes strongly in the benefits of investing and contributing to the markets in which it seeks to sell cars,” added Kerssemakers.
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