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The next generation XC90 will be built at Volvo Cars’ new manufacturing plant in Berkeley County, South Carolina beginning in 2021. The announcement brings Volvo’s total U.S. investment in manufacturing to just over 1.1 billion.
?The continued expansion of our plant in South Carolina is another significant commitment to the US market,? said HÃ¥kan Samuelsson, President and Chief Executive, Volvo Cars. ?The plant in Charleston will serve both the U.S. and international markets and forms a strong foundation for our future growth in the U.S. and globally.?
Job Creation
In the fall of 2018, S60 production will begin at Volvo’s new South Carolina facility. To support production, 2,000 new employees are being hired but with plans to build the XC90 in South Carolina, another 1,900 jobs are expected. Volvo says the full economic impact will be much greater once the plant is fully operational and the “job multiplier” effect is accounted for. Global Strategy
Volvo’s manufacturing strategy is based on a “build where you sell” approach. Concerning the XC90, the U.S. is the largest market for the SUV, although a considerable number of units will be exported from the Port of Charleston. Total U.S. production capacity at the plant will rise to 150,000 vehicles annually Volvo predicts.
Prior to the XC90’s arrival, some felt Volvo’s presence in the U.S. was lackluster. When t...