Volvo Penta is expanding its operations at a US facility in Lexington to enable the final assembly of its industrial variable speed diesel engines.
The new production line in Lexington, Tennessee, is intended to improve the customisation of orders and reduce delivery lead times for the company’s customer base in North America.
Volvo Penta, since the introduction of its Tier 4 final range in 2014, has grown in the industrial market including areas such as material handling, construction, raw material exploration, ground support, power generation and as well as other areas. The company says that a key contributor to the growth has been the fuel efficiency of engines as well its selective catalyst reduction (SCR) emission-reduction technology which is aimed at reducing downtime and total cost of ownership.
Ron Huibers, president of Volvo Penta of the Americas, says: “Over the past four years, our industrial business has increased substantially and we’re confident our penetration into the market will only become stronger.
“The decision to begin final assembly at our wholly-owned facility right here in the United States was made not just to improve flexibility and lessen lead times for our customers today, but also to put us in a better position to support future customer needs as we expand our business and enter new industrial segments.”
A stock of base engines of D5, D8, D11, D13 and D16 models will now be maintained at the Tennessee factory, along with accompanying components.
When a client places an order, the base engine and components are assembled to the required specification, and the unit is programmed and tested to ensure the correct performance is achieved. Orders will be delivered within two weeks.
Darren Tasker, vice president of industrial sales for Volvo Penta of the Americas, says: “In catering to the versatility of our customers’ individual specifications, we’re now able to provide them with far greater flexibility to order exactly what they need, while significantly shortening the window of delivery.”
Additionally, Volvo Penta has invested its Tennessee facility in expanding operations and has installed a diesel engine test cell to help them carry out on-site testing and specification certification.
Volvo Penta will also continue to produce gasoline engines for worldwide distribution at the Tennessee facility.