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Area Development - Site Selection, Facility Planning and Workforce Development

Volvo Group North America Expands Hagerstown, Maryland, Powertrain Facility

07/12/2019
Volvo Group North America is expanding its Volvo Group powertrain facility in Hagerstown, Maryland. The company will introduce new machining operation, expanding automated manual transmission assembly, and adding core logistics management.

The company is investing $43 million and adding 85 new jobs in the powertrain production plant, where it develops and produces heavy-duty diesel engines, transmissions, and axles for Volvo Group brands.

AMT gears and shafts machining will be added alongside the existing AMT assembly line in Hagerstown, with production expected to begin in early 2021.

“It is very important for us to receive support from the State of Maryland and Washington County. We value the long-term relationship we have with our local and state legislators as they are key partners to build a sustainable business,” said Pierre Jenny, Volvo Group Vice President of powertrain production at the Hagerstown facility.

To assist with the expansion, Maryland Commerce has approved a $1.4 million conditional loan through Advantage Maryland. Washington County has approved approximately $140,000 for the project.

“Creating a business-friendly environment, and creating jobs, throughout our state has been a hallmark of Governor Larry Hogan’s administration,” said Maryland Commerce Secretary Kelly M. Schulz. “The Volvo Group’s decision to expand operations is welcome news for Hagerstown, for Washington County, and for Maryland. The company has been an important employer in Western Maryland for more than 57 years, with more than 1,900 team members currently at the Hagerstown campus.”

“The Volvo Group expansion continues to confirm its positive business partnership with Washington County now and into the future,” said Jeff Cline, President of the Washington County Board of County Commissioners.

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