More than 700 production workers will be laid off at Volvo’s New River Valley assembly plant in Dublin, Va., The Associated Press reports. The layoffs are a result of declining demand.
Layoffs will begin in February and span three weeks. Commercial truck customers have successfully upgraded their fleets, significantly reducing the demand, a Volvo spokesperson told the AP.
Virginia’s assembly plant is Volvo’s largest truck manufacturing facility in the world, according to Volvo’s website. The plant is 1.6-million square feet on top of nearly 300 acres. In September, Volvo announced it will invest $38.1 million into the New River Valley plant for upgrades and a new Customer Experience Center. Last June, the company announced a $69 million investment in the plant for state-of-the-art equipment, processes and plan redesign.
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