Volvo Trucks North America will increase production at its New River Valley assembly plant in southwestern Virginia.

The increase from 50 to 60 units per day is in response to current market trends and dealer demand for new vehicles, and will require the reactivation of more than 140 employees.
"It is too soon to be overly optimistic about the industry recovering," said Bill Dawson, senior vice president of sales for Volvo Trucks North America. "However, current market drivers and dealers' need for inventory have sparked a flurry of first quarter orders."
Some of the factors contributing to the improved order activity are a diminishing supply of quality used trucks, low dealer inventory and early fleet purchases of replacement vehicles, according to Dawson.
There is much speculation about "pre-buy" activity before new emissions regulations take effect in October. Volvo notes that there are a finite number of production line slots available between today and October 1. If the order activity maintains the current pace, it will become increasingly difficult to meet demand.
Due to other projects ramping up at the New River Valley plant, Volvo expects the workers being reactivated to support the rate increase will remain active even if demand should subside somewhat after October 1.