The Volvo Group plans to invest nearly $400 million over six years to upgrade its New River Valley, Va., plant that produces all Volvo trucks sold in North America.
The upgrades include expansion of the industrial footprint and installation of a variety of equipment that the company says will improve plant efficiency and deliver higher product quality.
“The outstanding product line currently produced at NRV has strongly positioned Volvo Trucks for the future,” said Peter Voorhoeve, President of Volvo Trucks North America. “This investment is another sign of our confidence in that future, and will help us prepare for even more exciting products – powered by both diesel and electric drivetrains – in the coming years.”
The expansion, which will be eligible for a Virginia Major Employment and Investment grant of up to $16.5 million and other incentives. Virginia’s Pulaski County will grant Volvo 222 acres of adjacent property to expand the campus and will provide $500,000. Volvo also announced plans to create 777 new jobs at the facility over the next six years.
Major components of the investment include a new 350,000-square-foot building that will ultimately house truck cab welding operations; an expansion of the existing plant to allow for further improvements to the facility’s paint operations and overall material/production flow; and a variety of equipment upgrades, including installation of several dynamometers for vehicle testing.
