Volvo CE: the Sustainable Construction Equipment Specialist

We profile Volvo Construction Equipment, which produces excavators, loaders, dump trucks & compactors to meet environmental and operational needs

Volvo Construction Equipment (CE) Global is a division within the Volvo Group, and has various segments. As well as construction equipment, it manufactures trucks and buses, plus marine and industrial engines. 

In the realm of construction, Volvo CE produces equipment including excavators, loaders, dump trucks and compactors. 

It has a strong focus on innovation and sustainability, seeking to provide “efficient and environmentally friendly solutions to meet the needs of the construction industry”, it says. 

The company has declared a commitment to "leading the way in the decarbonisation of the construction industry", and says it does so through a “strategic mix of cutting-edge technologies”. These include:

  • Battery-electric vehicles and heavy equipment, which are “at the forefront of our mission to create clean and quiet construction”.
  • Electric vehicles. Volvo CE says it offers the industry's largest selection of electric construction machines.
  • Partnerships that are “designed to bolster the charging infrastructure and accelerate our production efforts”.

In 2023, Volvo CE also maintained its commitment to global investment in sustainable power solutions. Its investments included a new battery-pack production at its excavator plant in Changwon, South Korea, and the introduction of electric wheel-loaders at its Arvika facility in Sweden.

The Changwon plant was established in 1978 and became part of Volvo CE in 1998. It produces crawler excavators, wheeled excavators, as well as demolition equipment and pipelayers. 

The company’s Arvika factory is 139 years old, and became part of Volvo CE in 1995. It produces large-wheel loaders, rear frames, front frames and boom unit systems. It employs around 1,000 people.

Among Volvo CE’s releases in 2023 was the L120H Electric Conversation wheel loader, which meets growing demand for sustainable options in the mid-size category. The company expanded into new markets, too, by introducing the zero-emission EC55 Electric excavator in India.

It also delivered the first ever articulated hauler made from fossil-free steel in North America, to its customer CRH.

Volvo CE partnerships key to net zero goals

The clean-steel hauler deal was part of a partnership with CRH to help decarbonise construction. CRH is a multinational provider of building materials solutions, and employs 78,500 at 3,390 sites worldwide.

The partnership is focused on electrification, charging infrastructure, low-carbon fuels and renewable energy.

As part of this agreement, Volvo CE will seek to scale-up cutting edge technology and operational efficiency in its off-road segment, in a bid to reduce carbon emissions while maintaining high levels of productivity.

Melker Jernberg, President of Volvo CE said of the partnership: “Partnerships are key to accelerating decarbonisation and our collaboration with CRH will help both companies achieve our net-zero ambitions. We move faster and create more impactful change when we work together.”

“At CRH we’re innovating for a low-carbon future and with deep expertise in sustainable transport and infrastructure solutions. Volvo Group is a natural strategic partner for CRH and this collaboration is an important step in our shared commitment to decarbonizing our businesses,” said Eunice Heath, Chief Sustainability Officer, CRH.

Volvo CE is targeting 35% fully electric sales by 2030 and aims to achieve net zero greenhouse gas emissions across its supply chain by 2040. 

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