The Swedish business news website www.di.se reports that Volvo Construction Equipment plans to invest $100 million, (SEK 639 million) in its facility in Shippensburg, Pennsylvania. Volvo also plans to move the North American headquarters for sales and rentals by September 2012 to Shippensburg, from Asheville, North Carolina.
“We are excited about Volvo’s investment and plan to move its North American headquarter operations to the south central region of Pennsylvania. The south central and eastern regions of Pennsylvania are located in the heart of the East Coast Market and are within an easily accessible 200-mile radius of nearly 46 million people,” said David Engstrom, President of the Swedish-American Chamber of Commerce-Philadelphia.
Since the acquisition of the Shippensburg facility in 2007, Volvo Construction Equipment has continued to invest. In June 2010 an expansion at a cost of $30 million was completed. The expansion was made to improve the production flow and to make way for the production of Volvo’s motor graders. The production in Shippensburg will not have any significant impact on existing production in other locations,
For the Pennsylvania area the investment is seen as very beneficial for the region.
“Volvo’s investment in its Pennsylvania facility is an exciting opportunity for our local business community and will open doors to increased networking and services for area businesses. This long term commitment to Volvo’s operations in the region will contribute to the entire business community and provide new platforms for Scandinavian companies to interact and thrive, something we very much value at SACC. The investments in Pennsylvania are vital to SACC-Philadelphia’s mission to encourage and promote an exchange of technology, trade and culture between Sweden and the Greater Philadelphia Region,” continued Mr. Engstrom.
To read the article published by Dagens Industri please click here.