Volvo Expands Investment in Mexican Truck Factory to $1 Billion

AB Volvo is set to increase its investment to $1 billion in a truck factory under construction in Nuevo Leon, Mexico. Originally announced in August at $700 million, production is expected to begin in 2026. Mexico's Economy Minister Marcelo Ebrard confirmed the updated investment from Volvo's Sweden headquarters.

Sweden's AB Volvo is ramping up investment in its ongoing truck factory construction project in Nuevo Leon, Mexico. The revised investment now totals $1 billion, as confirmed by Mexico's Economy Minister Marcelo Ebrard on Thursday.

Originally, Volvo had set the construction cost at $700 million when the site was chosen in August on the outskirts of Monterrey, an industrial hub in northern Mexico.

Ebrard broke the news on a post via X, sharing that the decision had come directly from Volvo's Sweden headquarters. Production is slated to commence in 2026, though Volvo has yet to respond to requests for further comment outside typical business hours.

(With inputs from agencies.)