In 2011 Volvo CE saw strong momentum in all BRIC markets. Significantly, it became market leader in China for excavator and wheel loader sales, with a share of 12%. Despite a softening of the Chinese market, Volvo CE's sales there grew by 29% in 2011. In October the company broke ground on its major new technology center in Jinan, China, which, when completed, will design products for the BRIC markets and form part of the company’s plan to have a global footprint of engineering and design resources.
The third quarter saw Volvo CE announce a SEK 350 M investment in a new excavator plant in Kaluga, Russia, which will see production start in early 2013. Distribution in Russia also got a boost; with new partner Ferronordic committing USD 100 M to expanding dealer locations in the vast country.
In India, dealer development was also in focus, and SEK 140 M is being spent on expanding Volvo CE’s Bangalore facility to accommodate excavator production. Elsewhere, the company saw strong market growth across South America, with its SDLG wheel loader range gaining the market leadership position among Chinese brands in the region. A SEK 65 M investment will see Volvo CE excavators produced at the Pederneiras, Brazil facility.