Volvo aims big with Wacol expansion
HEAVY vehicle manufacturer Volvo Group has announced a $25 million upgrade of its Wacol factory as it expands its share of the $3.5 billion new truck market in Australia.
Volvo global president Martin Lundstedt said yesterday that the refurbishment came after the 46-year-old factory had lifted production of Volvo and Mack branded trucks by 40 per cent in the past five years.
"Our market share has increased to about 27 per cent over the past five years, making it necessary to further increase our production capacity," said Mr Lundstedt. The factory builds up to 3500 trucks each year from local and globally-sourced parts.
"Investing in the Wacol factory will help grow this market share and give a boost to about 85 local component suppliers," he said.
"Volvo has been making trucks in Queensland since 1972 and are extremely confident in the Australian market."
Volvo says it has built market share by making trucks for Australian conditions, including bigger fuel tanks for long distances and more powerful air-conditioning. It employs about 530 people after adding 160 workers in the last two years. The company said it would add more jobs in the future dependent on demand.
Mr Lundstedt and Premier Annastacia Palaszczuk also yesterday opened the company's nearby $30 million Australian headquarters that will accommodate offices, a dealership and workshop.