Volvo Invests US$700 Million in New Truck Plant in Mexico

Volvo has announced a US$700 million investment to build a new heavy-duty truck manufacturing plant in Nuevo Leon, Mexico. This move aims to expand the Swedish company's production capacity to meet the growing demand in North America. The facility, expected to be operational by 2026, will serve both Volvo Trucks and Mack Trucks.

"Monterrey offers significant logistical efficiencies for supporting sales to the southwestern and western regions of the United States, Mexico, and Latin America," Volvo stated.

The choice of Monterrey, a city with substantial industrial infrastructure and close proximity to the US border, provides Volvo with logistical advantages for distributing trucks across key markets. The new plant will primarily support Volvo's North American operations and contribute to the company's strategic growth in the region. The project is expected to generate approximately 2,000 jobs.

"This will be one of the biggest investments of this administration," said Samuel García, Governor, Nuevo Leon. Volvo's investment was unofficially revealed when Volvo executives engaged with local suppliers and the local automotive cluster to explore ways to integrate the company into the northern automotive ecosystem.