Volvo CE invest in new SDLG facility
Company creating new and exclusive excavator manufacturing line and legal entity in Brazil
FOLLOWING a rapid rise in demand for their SDLG branded machines in Latin America, Volvo Construction Equipment have announced that they are to invest $10 million in the creation of a new and exclusive excavator manufacturing line and legal entity – SDLG America Latina – in the Brazilian state of São Paulo.
The new facility will share the site of Volvo CE’s existing manufacturing complex in Pederneiras, but will be separate and solely for the manufacture of SDLG machines.
Work on the new factory has begun and, when completed, initially four SDLG models of tracked excavators will roll off the production lines, starting from the middle of 2013. These will be the LG6150E, LG6210E, LG6225E and LG6250E, spanning the weight classes between 13.8 tonnes to 24.3 tonnes. Taking into account its mid-year start, it is expected that production output in the first year will be approximately 120 units.
Volvo CE say demand for construction equipment in the value sector of the market is forecast to grow rapidly in Brazil and throughout Latin America, and this investment in local production will help reduce lead times, among other benefits, while SDLG America Latina will provide support to the brand operations, customers and distributors across Latin America.
SDLG will continue to operate as an independent brand, with its own dedicated organization, identification, distribution network, sales force and technical structure.
