Volvo will build truck plant in Mexico to increase North American production

Volvo Truck in western desert

Volvo Group announced Thursday its intent to build a new heavy-duty truck manufacturing plant in Mexico to supplement the group’s U.S. production.

Volvo states the plant is expected to be operational in 2026, and will support both Volvo Trucks and Mack Trucks in the U.S. and Canadian markets, and Mack truck sales in Mexico and Latin America.

The Mack LVO plant in Pennsylvania and the Volvo NRV plant in Virginia will continue to be the company’s main North American heavy truck production sites. Volvo Group states it has invested more than $73 million over the last five years in LVO expansion and upgrades, and is currently investing an additional $80 million to prepare for future production. The NRV plant is completing a six-year, $400 million dollar expansion/upgrade to prepare for production of the new Volvo VNL model.

Volvo says adding production in Mexico will deliver logistical efficiencies for supporting sales to the southwestern/western regions of the U.S., and to Mexico and Latin America. It also provides a mature supply and production ecosystem that will complement the U.S. system and increase the resilience and flexibility of the Group’s North American industrial footprint.

The new plant will be approximately 1.7 million sq.-ft., in size, and will focus on production of heavy-duty conventional vehicles for the Volvo and Mack brands, Volvo Group says. It will be a complete conventional vehicle assembly facility including cab body-in-white production and paint.

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