Driving the news: Volvo will continue investing in its South Carolina plant near Charleston to reach full capacity with plans to add a new hybrid model before 2030.
For context: The Ridgeville facility can produce 150,000 cars annually and currently makes the electric EX90 SUV and Polestar 3, with the popular XC60 SUV joining the lineup in late 2026.
Volvo has already invested $1.3 billion in the plant over the past decade and sold about 125,000 vehicles in the U.S. last year.
Why it matters: Volvo's pivot represents a broader retreat from pure EV strategies among European automakers who miscalculated American consumer preferences. And it also helps Volvo sidestep 15% U.S. import tariffs.
What they’re saying: “The Charleston plant is foundational to our strategic growth plan for the U.S.,” said Luis Rezende, Volvo Cars’ president of Americas.
“By adding another model into production here, we’ll take a big step toward realizing the full potential of our local manufacturing investments and workforce, and accelerate progress toward our ambitious commercial targets in the coming years.”
Luis Rezende
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