News Summary
Volvo Cars is set to expand its Ridgeville, South Carolina facility by introducing a new hybrid model for the U.S. market by 2030. This expansion includes relocating the production of the XC60 SUV from Sweden, increasing the workforce, and enhancing local supply chains. With increased demand for electric and hybrid vehicles, Volvo aims to better cater to American consumer preferences, reflecting a strong commitment to the U.S. market.
South Carolina
Volvo Cars has announced plans to expand production at its facility in Ridgeville, South Carolina, with the introduction of a new hybrid model aimed at the U.S. market by 2030. This strategic move comes as Volvo seeks to increase its production capacity and adapt to evolving consumer preferences in the United States.
The Ridgeville plant currently has a production capacity of 150,000 cars per year and has seen an investment of $1.3 billion over the past decade. Currently, the facility produces the fully electric EX90 SUV and the Polestar 3. In a significant production shift, Volvo will move the manufacturing of its popular XC60 midsize SUV from Gothenburg, Sweden, to Ridgeville, starting in late 2026. This move is expected to enhance the company’s operational efficiency at its U.S. manufacturing site.
Sales figures for the XC60 further illustrate the model’s popularity, with Volvo selling over 27,000 units in the U.S. during the first eight months of 2025. This represents a 20% increase compared to the same period in 2024, which highlights growing demand for the model in the American market.
The Ridgeville plant employs approximately 2,000 workers, and plans are in place to double the workforce to 4,000 as production ramps up. This expansion aligns with the company’s commitment to localizing manufacturing in response to market demands. Currently, 60% of the suppliers for the Ridgeville facility are located in the Americas, with 11% situated within South Carolina, showcasing a drive towards strengthening the regional supply chain.
Volvo is also set to introduce a second-generation hybrid vehicle, designed specifically for American consumers with features that emphasize rapid acceleration. These enhancements respond to identified consumer preferences and regulatory pressures, as noted by industry leaders highlighting the importance of aligning production with market demands rather than solely regulatory requirements.
The Ridgeville plant’s current output faces challenges in meeting its potential, prompting the need for increased production efforts. As of September 2025, Volvo has shifted its strategic approach to focus on localized manufacturing, a move that reflects a broader trend among automakers to tailor their operations to local markets.
Volvo’s history in the United States dates back 70 years, beginning with the introduction of its first vehicle in August 1955. The company has consistently evolved to cater to American consumers, and this latest initiative reinforces its commitment to the U.S. market.
To support the growing workforce, current training programs are facilitated by ReadySC, the workforce development division of Trident Technical College. This partnership ensures that employees are equipped with the necessary skills to thrive in an expanding manufacturing environment.
In summary, Volvo’s expansion in South Carolina reflects a strategic response to the growing demand for electric and hybrid vehicles in the U.S. The relocation of XC60 production and the introduction of a new hybrid model are significant steps in strengthening the company’s footprint in the American automotive market, ensuring that it remains competitive in an evolving industry landscape.
Deeper Dive: News & Info About This Topic
- The New York Times: Volvo’s South Carolina Factory
- Wikipedia: Volvo
- Post and Courier: Volvo Ridgeville Expansion
- Google Search: Volvo Cars South Carolina expansion
- Greenville Business Magazine: Volvo’s South Carolina Investment
- Google Scholar: Volvo Cars hybrid vehicles production
- Wall Street Journal: Volvo South Carolina Plant
- Encyclopedia Britannica: Volvo Cars
Author: STAFF HERE FLORENCE WRITER
FLORENCE STAFF WRITER The FLORENCE STAFF WRITER represents the experienced team at HEREFlorence.com, your go-to source for actionable local news and information in Florence, Florence County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Florence Festival of Lights, Pee Dee Pride, and agricultural expos at the Florence Center. Our coverage extends to key organizations like the Florence Regional Chamber of Commerce and the Pee Dee Area Council of Governments, plus leading businesses in healthcare and retail that power the local economy such as McLeod Health and Pee Dee Electric Cooperative. As part of the broader HERE network, including HERECharleston.com, HEREColumbia.com, HEREGreenville.com, and HEREHiltonHead.com, we provide comprehensive, credible insights into South Carolina's dynamic landscape.
