Volvo CE starts US production of excavators and large loaders

Scott Young, Head of Region North America, speaking at the event. Image: Volvo CE

The company recently marked this with an event attended by legislators and business and industry leaders.

“This achievement advances Volvo CE’s long-term strategy to strengthen stability and flexibility across the North American market while supporting our employees and the regional economy,” said Scott Young, head of region North America.

The expansion brings Volvo CE’s North American production portfolio to 30 machine models, including excavators, wheeled loaders and compactors. With the most recent investment of $40 million, Volvo CE has invested over $1.4 billion since 2007 to triple its annual output capacity and build workforce skills to support growth and increased digitalisation.

A total of 11 additional models will be produced in Shippensburg, shortening customer lead times by more than six weeks.

Volvo CE acquired the site and its road development division from Ingersoll Rand in 2007 and established its North American headquarters there in 2012. Currently, over 750 people are employed at the location.

The plant’s combined 436,000 ft² assembly and fabrication footprint was reengineered creating three flexible production lines capable of building the full range of excavator, wheeled loader and compactor models, while adding new excavator welding capacity.

The North American site is also pioneering a new ‘utility specialist’ approach for production of large wheeled loaders, which require 30% more parts and complexity to build on the same line. Employees were cross trained in multiple zones to provide additional support at stations requiring extra labour, helping maintain a steady workflow.