Volvo suspends production at U.S. and Swedish plants for 20 days

Volvo has said it would suspend production at plants in Sweden, the United States and Belgium to curb the spread of the new coronavirus epidemic. At the same time, as the situation in China eased, Volvo Cars resumed production in China.

Specifically, Volvo ‘s plants in Torslanda, Skovde, and Olofstrom in Sweden, as well as plants in South Carolina, will be discontinued from March 26 to April 14. The company’s plant in Ghent, Belgium, was closed on March 17th, and resumption of work is yet to be determined. Volvo’s first pure electric SUV, the XC40 Recharge P8, is scheduled to start production at the Ghent plant this fall, and it is unclear whether the suspension will affect mass production and delivery of the car.

CEO of Volvo Cars, Håkan Samuelsson said, “Our primary concerns are the health of our employees and the future of our business. With the help of valuable supporting programs put in place by governments and authorities, we have been able to act quickly.”

Samuelsson said that during the closure of the factory, white-collar workers will have reduced working hours. Regarding the financial impact of the plant closure on the company, it also depends to some extent on the response of different countries to the epidemic.

Contact the author:

Inline Feedbacks
View all comments