RESHORING CASE

Volvo car

Company details
Company name: 
Volvo car
Company country: 
Sweden
Number of employees: 
38000
Sector: 
C - Manufacturing
Sector detail: 
C29 - Manufacture of motor vehicles, trailers and semi-trailers
Sub-sectors: 
C29.10 - Manufacture of motor vehicles
Reshoring details
Reshoring announcement date: 
19/07/2018
Starting implementation date: 
July, 2018
Reshored to: 
Sweden
Location of affected unit(s): 
Torslanda
Location code: 
SE232
Reshored business function: 
Production
Reshoring governance mode: 
In house (in own facilities)
Reasons for reshoring: 
Changes in taxation
Case narrative: 

Volvo is a car manufacturer headquartered in Sweden which manufacture in its plants widespread among Europe, China and the US. In July 2018, the company decided to back-shore the production of the Volvo XC60 addressed to the US market from China to Sweden. More specifically, the production was moved to the Torslanda plant that already assembled the product for the European market. The relocation decision was the consequence of the tariffs imposed by the USA on Chinese imports of automotive products. The Chinese factory will continue to realize the product for other markets, including the European one.  

Sources: 

Di.se 19/07/2018

Reuters 19/07/2018

Motor1 20/07/2018 

Offshoring details
Offshoring location: 
China
Offshored business function: 
Production
Host country geographical area: 
China