Volvo to invest millions in engine plant
GOTEBORG, Sweden – In response to the increasing demand for its D4/D6 engines, Volvo Penta is now investing approximately SEK 100 million in its plant in Vara, Sweden and increasing capacity there from slightly more than 13,000 engines to approximately 18,000 engines per year, the company said yesterday in a release.
At full capacity utilization, the investment could result in the new recruitment of about 20 people to work in the plant, which today employs slightly less than 300.
With the investments, in conjunction with the launch of the new D4/D6 series, Volvo Penta has invested a total of approximately SEK 800 million in the Vara plant in recent years, which more than doubled its production and the number of employees.
“We are proud and pleased with our Vara plant and, with the newly proposed investments, the Vara plant will also in the future be one of the cornerstones of Volvo Penta’s operations,” said Göran Gummeson, Volvo Penta’s president. “The D4/D6 is developed solely for marine use, which provides it with properties unequalled in the marine world, regardless whether it pertains to the environment or performance.”
The Vara plant manufactures Volvo Penta’s diesel engines for leisure and commercial boats.
As of last year, the new generation of D4/D6 diesel engines, which Volvo Penta began launching in 2003, were the only products made in Vara. The D4/D6 is available in output classes between 225 and 435 horsepower and are the engines Volvo Penta sells with its IPS drive systems with forward-facing propellers.
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