Well, that's the gem I dug up in my collection of old Road & Track magazines.
In the summer of 1974, Volvo announced that it would build a new assembly plant in Chesapeake Virginia. They cited a couple of important factors, one being that a labor shortage in Sweden forced them to look elsewhere for more capacity. The US had no shortage of unemployed workers at the time. Also, new emissions and safety standards were forcing Volvo to build very different cars for the US market. It was hoped that by 1980, the new plant would be producing all of the US-model Volvos.

The question is, what happened to these plans? Obviously, this deal never got off the ground. Volvo never built cars in the States. The way this story was written, it sounded like the deal was done and they were about to break ground on the plant. I don't have the follow-up article to confirm that the deal fell through or whether it even got off the ground.

Anybody know anything about this?

BTW see my new site at www.bareiss.net/volvo/volvo.html
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Rob Bareiss, New London CT ::: '86 244DL- 215K, 87 244DL- 230K, 88 744GLE- 198K, 91 244 180K

I do not know about US operation, what I know Volvo bought DAF, a Dutch carmaker, during the 80s, and they have some Belgian operation. Now Volvo was bought by Ford , I do not know what will happen to the quality, I had several Fords and I do not like them. Volvo is very sucessfull in the truck business. Interestingly the other Swedish carmaker SAAB was bought by GM. I do not know what I will do whenn I will run out of the 240/740 supply. I do not like frontweel drives, the front is so crowded that I cant work on them. Happy bricking, Gabe

i thought volvo was bought by ford. I dont know this can anyone verify this. I would like to know

NMI

They did build a facility. It's still there to this day. It was used for administrative purposes, and as a distribution center. Look on a closeup of a Norfolk, VA map, and you can still find 'Volvo Parkway.'

They were serious about building cars here, but something happened (inflation, exchange rates, oil crisis, etc...) that made them change their minds, as it would no longer be a cost savings. Kind of the same reasoning as when VW built it's Westmoreland, PA plant, and then shut it down a few years later.
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Speed Racer, '83 240 R, '74 164 E, '93 940 OL1 (Manchester, CT)

http://www.volvocentral.net/features/history70.html

"1973:
Volvo was to start car production in Chesapeake, Virginia in 1973. However, economic conditions, combined with the first oil crisis, dictated otherwise and it was decided to build buses instead. In the event, this was not a success and the plant was finally used to produce Volvo Penta engines and drives. Volvo Penta's American headquarters are still located in Chesapeake today."

Erling.

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My 240 Page

Was this what wound up happening?

Volvo assembled cars in Halifax since the early 1960's. See my other post for the story on the VA plant.
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Speed Racer, '83 240 R, '74 164 E, '93 940 OL1 (Manchester, CT)

Seems they DID assemble SV70s there! Have you ever heard of anyone who claims one? (Mine's definitely Belgian, and I think they were drunk when they built it.)

Halifax, Nova Scotia Volvo Factory 1963-1998, RIP

I just talked to a young lady at the Cheaspeake location , she said as far as she knew, no trucks or cars were ever built there. They are strictly sales and marketing for Volvo penta marine engines. The distrubution site is in Deluth Ga. I see the building all the time it is off Volvo Parkway.

Eck Sheppard 81 242 Portsmouth Va.

I lived in GA for five years and never knew what that building was, but it was a source of joy with its huge Volvo sign lit in blue.