Volvo Cars will assemble electric motors at its powertrain plant in Skövde, Sweden, and plans to establish complete in-house e-motor production by mid-decade. It will invest 700 million SEK to this end in coming years.
The company is committed to becoming a premium electric car company and aims for its global sales to consist of 50 per cent fully electric cars by 2025, with the rest hybrids.
The Skövde operations have been part of the Volvo Cars story ever since the company’s founding in 1927. Adding e-motor production to the plant’s activities means the historic ground in Skövde will be a part of the company’s future as well.
Volvo Cars announced earlier this year that it is investing significantly in the in-house design and development of e-motors for the next generation of Volvo cars. With the planned investments in Skövde, it now takes the first steps towards in-house e-motor assembly and manufacturing.
In a first stage, the Skövde facility will assemble e-motors. At a later stage, the company intends to bring the full manufacturing process for e-motors in-house into a facility in Skövde.