CEO Olof Persson will use his Conexpo press conference speech to reiterate that North America remains ‘a strategically important home market’, outlining over 50 new product introductions and a $100 million manufacturing expansion plan.
Volvo Construction Equipment will use its international press conference at the Conexpo 2011 exhibition in Las Vegas to underscore the company’s commitment to customers in North America – highlighting not only the introduction of 55 new product upgrades, but also pledging to spend $100 million in a product and production expansion program at its North American facilities.
Olof Persson, the company’s president and chief executive, will begin the press conference by highlighting the improving trading conditions, both in the North American market and globally. This market development is mirrored by substantial improvements in the fortunes of Volvo Construction Equipment itself, which in 2010 saw sales increase by 51% – outperforming the general market, which increased by 31%. Mr. Persson will state that this increase in sales was accompanied by high profitability, a record number of machines sold and a strengthening order book.
Mr. Persson’s presentation uses the occasion as the official launch of a fundamental overhaul of the company’s product portfolio – introducing 55 new or updated models to the range. He also looks to the future and gives an overview of the company’s ambitious $250 million investment programme – including an additional $100 million towards boosting production in North America.
This most recent announcement will see its US facility in Shippensburg, PA, expanded in order to start production of Volvo wheel loaders, excavators and articulated haulers, in addition to the road machinery products currently produced at the plant. A world class Customer and Demonstration Center will also be built in Shippensburg. In addition, Volvo CE will build a new office building on the campus to house its Regional Sales Headquarters, Volvo Rents offices as well as a training center and demonstration ground.
Underlining its confidence in the US, Mr. Persson will highlight the efforts being made to expand and strengthen its distribution network in North America.
“These are exciting times for Volvo Construction Equipment, both in North America and globally,” Mr. Persson will conclude. “We are outperforming the improving market conditions by offering a young fleet of innovative products tailored to meet the needs of specific customer groups, combined with a strong and loyal distribution network and a substantial investment program.”