Volvo Cars to expand production at South Carolina plant

Volvo Cars announced it will continue investing in its manufacturing plant in Ridgeville, South Carolina, with the goal of reaching full utilization in the coming years.

The company has already invested $1.3 billion in the plant over the past decade. The facility has an annual production capacity of 150,000 vehicles and currently produces the fully electric Volvo EX90 SUV and the Polestar 3.

Earlier this year, Volvo Cars confirmed that production of the XC60 midsize SUV will begin at the South Carolina plant in late 2026. In the first eight months of 2025, more than 27,000 XC60s were sold in the United States, a nearly 20 percent increase compared to the same period in 2024.

Volvo Cars Chief Executive Håkan Samuelsson said the investment reflects the company’s long-term commitment to the U.S. market, where it has maintained a presence for 70 years and sold more than 5 million vehicles. South Carolina Governor Henry McMaster said the additional investment reinforces the state’s position in the automotive sector.

The Ridgeville facility began operations in 2015. Before 2030, Volvo Cars plans to add a next-generation hybrid model to the plant, designed for U.S. market demand. Luis Rezende, president of Volvo Cars Americas, said the Charleston plant is a core part of the company’s U.S. growth strategy and that adding another model will support the use of the plant’s capacity and workforce.