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New Chinese subsidiary for Volvo

Volvo Construction Equipment are to establish a wholly owned subsidiary and manufacturing facility, Volvo Construction Equipment (China) Co. Ltd, for the production of construction equipment in China.

Involving an investment of around £10.5 million, the new company will be based on 70,000m² of land in the Jinqiao Export Processing Zone in Shanghai’s Pudong New Area. The facility is scheduled to commence operations in spring 2003 and will initially be used for the assembly of crawler excavators.

The Chinese market for crawler excavators is currently one of the biggest in the world with annual sales of over 10,000 units, a figure that is expected to grow over the coming years.

 
 

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