Volvo Construction Equipment will bring battery-pack production to its excavator manufacturing facility in Changwon, South Korea. The $7.8 million investment from Volvo Group will provide a new production facility and equipment.
The Changwon plant is Volvo’s largest excavator production site and builds more than half (55 percent) of its excavators, according to the company.
The new facility will produce a wide range of common electric storage solutions and become a core competence center for electric excavators. Volvo Group said the move will enable it to offer “more sustainable solutions to its APAC markets in a more flexible, cost-effective, and agile way and will include supply chain, manufacturing, and logistics.”
“As the largest plant in Volvo CE and the core site for excavator development and production, Changwon is at the forefront of our shift to a sustainable future," said Andy Knight, head of operations excavator and managing director of Volvo Group Korea, in a statement. “This investment is an important milestone in our electrification roadmap and supports our recent investments in production facilities for electric excavators.”
The new production facility will be built inside the current component workshop at Changwon. Once complete, the facility will be approximately 2,500 square meters including assembly and logistics areas. Work will begin in April with battery pack production expected to commence in June 2024.
