Volvo To Double Investments In U.S. Plant

Volvo is set to double its investment to $1 billion in its first U.S. production facility on the back of record sales.

Reuters reports that the Swedish car manufacturer’s plant in Charleston, South Carolina will be opened next year and was initially going to create 2,000 jobs. Following new investments, recruitment figures will rise to 4,500.

Volvo broke ground on the factory two years ago and it comes as somewhat of a surprise that it is doubling its investment at the plant. After all, the brand announced China as its global manufacturing and export hub in late 2016 and shifted production of the S90 sedan from Sweden to China. Additionally, Volvo sales have declined by 7 per cent in the U.S. this year.

However, Volvo blames reduced U.S. delivery figures on supply shortages and is evidently confident in its new range of models, including the XC40. It is also set to post record worldwide sales for the fourth successive year.

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