Pre-production of the all-new Volvo XC90 in Torslanda

Volvo Cars has confirmed that its first US plant is to be based in Berkeley County, South Carolina. The new assembly plant is said to be built to the tune of US$500 million and will possess an initial production capacity of 100,000 cars per year – destined for both domestic consumption and export.

“Building a plant in the US is a reflection of Volvo Cars’ commitment to the US and the key role the US plays in our growth objectives,” said senior VP of Volvo North America, Lex Kerssemakers. “The US remains one of the most dynamic economies in the world and Volvo Cars believes strongly in the benefits of investing and contributing to the markets in which it seeks to sell cars,” he added.

Construction for the new plant is slated to begin in the third quarter of 2015. The first vehicles are expected to roll out in 2018. Upon completion, the US plant will further add to the Swedish carmaker’s lineup of factories around the world, including two in Europe and another two in China.

GALLERY: 2015 Volvo XC90 T8