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Oct 03, 2011 | ID: 40471

Volvo Car Corporation ceases the production in the Uddevalla plant in 2013

Volvo Car Corporation will, when the company in 2013 takes sole ownership of Pininfarina Sverige AB, cease the production in the Uddevalla plant.
"The low volumes in the Uddevalla plant do not justify continued production" says Stefan Jacoby, President & CEO of Volvo Car Corporation.
All employees in Uddevalla will be offered employment in Gothenburg or in other VCC production units in Sweden.


"We will now look into when a next generation Volvo convertible can be on the market and where it should be manufactured", says Stefan Jacoby. He continues:
"The Uddevalla plant delivers cars with a very high quality. However, a car manufacturer of Volvo's size can not, from a financial standpoint, justify a plant that manufactures one single model in the low volumes we have today. The production capacity in Uddevalla is currently only utilized to 65 percent."


The Uddevalla plant manufactured 10 000 cars in 2010.


Today approximately 600 people work at Pininfarina Sverige AB in Uddevalla. When the plant ceases the production in 2013, all employees will be offered employment within Volvo Car Corporation in Sweden.
"The employees in Uddevalla are very skilled car builders. Therefore we hope that as many as possible will choose to join Volvo Car Corporation," says Stefan Jacoby.


Volvo Car Corporation has been building cars in Uddevalla since 2005 in a joint venture with Pininfarina S.p.a., the latter being the majority shareholder. In March 2011 the two companies agreed to terminate the joint venture, which means that Volvo Car Corporation will be the sole owner of the Uddevalla operation in 2013.



About Volvo Car Corporation
Volvo Car Corporation develops, manufactures and sells Volvo cars. In 2010, sales amounted to 373,525 cars. Volvo Cars is represented in 101 countries globally. The headquarter is situated in Gothenburg, with production in Sweden, China, Belgium and Malaysia. The Volvo range currently includes 11 car models; Volvo S40, S60, S80, V50, V60, V70, XC60, XC70, XC90, C30 and C70. Since 2010, Volvo Car Corporation is a wholly owned subsidiary of the Zhejiang Geely Holding Group. Volvo Car Corporation was founded in Sweden in 1927.

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