Volvos to build a new Scottish factory

22nd September 1972, Page 351

22nd September 1972

Page 351

Page 351, 22nd September 1972 — Volvos to build a new Scottish factory

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I Volvo is setting up a factory at Irvine sTew Town, Ayrshire, in which it plans to nanufacture a complete range of trucks ;pecially designed for the UK.

The new multi-million pound plant will ngin production by the middle of next year. rhe factory will be used initially for the ex3ansion of Volvo's importing activities, plus some assembly work. Built on a 75-acre site, formerly used by the Army, the factory is the first such venture by the Swedish manufacturer in Scotland.

The decision to build in Scotland follows six months of negotiations by Ailsa Trucks Ltd, Barrhead, sole Volvo truck and bus concessionaire in the UK, with Irvine Development Corporation.

Mr Jim McKelvie, managing director of Ailsa Trucks, said: "We have worked hard for this moment. After all, we have been competing with several other countries for this factory. It has all taken four years."

Mr McKelvie's drive and enterprise was largely responsible for Volvo's final decision, according to a spokesman for the manufacturers. "We have every confidence in Mr McKelvie and his team," said the spokesman. "He has proved in the short time his company has been handling Volvo trucks that he can crack the British market. The success of our connection will depend, however, on the production rate achieved, coupled with quality, sales and the factory's strike record."

Volvo hold a 75 per cent share in Ailsa Trucks, and trading will continue to be under the name of Ailsa. At present Volvo has 18 per cent of the British truck and bus market. Two new vehicles introduced at Earls Court, the 24-ton-gvw 6 x 4 and the 30-ton-gvw 8 x 4, will be built at Irvine.

About two years ago Ailsa Trucks started importing Volvo trucks by a roll-on/ roll-off system from Gothenburg to Leith.

Mr A. W. Hardie, chairman of Irvine Development Corporation, said that the factory was the most important industrial move Irvine had ever made. "It represents one-twelfth of our available industrial land and includes more than one million square feet of existing industrial buildings," he added.