The plant will be used to build electric vehicles only
This will be the company’s third manufacturing facility in Europe
In order to achieve its sustainability goal, Volvo will use carbon-neutral energy in this factory
Volvo announced it will build a new factory in Slovakia that will be its first carbon-neutral manufacturing facility in the world.
This upcoming factory will begin to be built near the city of Kosice in 2024 and it will be operational in 2026. This project will require a 1.2 million Euro investment.
Slovakia was chosen by Volvo due to its location and its established automotive industry. Indeed, the new factory will be the third point of a triangle that is formed by Volvo’s two other manufacturing locations in Europe, one in Belgium and the other in its native Sweden.
In addition, this new factory will be the fifth automotive assembly plant to be installed in Slovakia, which means that the country’s supply chain and infrastructure are already in place to support the new Volvo facility.
Since the automaker wants to sell only electric vehicles by 2030, this new factory will be dedicated to the assembly of EVs from the start, unlike any of the company’s current plants around the world.
Furthermore, another goal for Volvo is to have carbon-neutral manufacturing operations by 2025 and to become climate neutral as a whole by 2040, the Slovak factory will be designed to be more efficient and more sustainable and it will only use renewable energy.
The company expects this facility to produce 250,000 vehicles per year with the possibility of expansion due to the size of the land on which it will be built. This figure would bring the brand’s total European production up to around 850,000 vehicles per year, which would bring the company closer to its target of 1.2 million sales around the world by mid-decade.