Volvo Cars has announced a review of plans to launch its new production facility in Kosice, Slovakia. The start of series production has been postponed from 2026 to early 2027.
According to Volvo representatives, this decision is not extraordinary, but was taken as part of an update to the overall strategy for developing and introducing new models. The company emphasizes that the postponement will help to better synchronize production processes with the market situation and optimize the use of resources.
Production of electric cars and cooperation with Polestar
The plant being built in Kosice is intended to produce Volvo’s latest electric cars. Although specific models have not yet been announced, it is already known that the same plant will begin producing the electric Polestar 7 from 2028. This step indicates an active deepening of cooperation between the Volvo and Polestar brands, both of which belong to the Geely holding.
Capacity and potential for multi-brand production
The new plant will have a capacity of 250,000 cars per year, making it an important logistics and production center for Volvo in Europe. The company does not rule out the possibility of multi-brand production - that is, involving other brands from the Geely group for joint production of models, which would help significantly reduce costs.
Changes in production policy
The return of Volvo Cars CEO Gökan Samuelsson in 2024 also led to a change in the emphasis of production policy. According to the updated strategy, the company is now focusing on production flexibility and cost reduction. As part of these changes, about three thousand office employees have already been laid off and investment programs have been temporarily reduced.