The move represents a $100m investment over the next couple of years, the company said.
The Volvo CE North American sales headquarters and Volvo Rents will relocate from Asheville in North Carolina to Shippensburg, Pennsylvania by September 2012.
“It makes sense, when possible, to manufacture products close to where our customers are,” said Olof Persson, president and CEO of Volvo Construction Equipment. “The global demand for Volvo construction equipment is rapidly increasing and we need to make investments to meet future demands in the region. Producing Volvo wheel loaders, articulated haulers and excavators in Shippensburg will result in shorter lead times for our customers. We will work closely with local suppliers to increase the North American content of our products. This will further reduce our exposure to exchange rate fluctuations, which will already be positively affected by our bringing more production to the USA.”
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