Volvo Construction Equipment Sets Up New Compact Business Unit
Published: 28/12, 2023
In order to maximize the opportunities in the growing compact equipment segment Volvo Construction Equipment has launched a new Compact Business Operating as an independent entity within Volvo CE, the unit will initially be responsible for compact excavators up to 9t, and compact wheel loaders up to the L50. In addition, the unit will take advantage of the shift to electrification in the compact equipment segment to secure a fully electric line up of productive and sustainable products across the whole compact range.
Volvo CE cites increases population and urbanization that have led to the expansion of the construction sector throughout the globe, with a particularly strong increase in the demand for compact equipment. The segment now represents 50% of the total market, compared to 35% a decade ago, with the growth trend likely to continue.
Thomas Bitter, Volvo CE’s Head of Technology, took the helm of the Compact Business Unit in September. He credits the company’s pioneering work in electrification and digitalization for positioning Volvo CE as an innovator in compact equipment.
“And now because of compact equipment’s ever-growing influence on the market, we are focusing our attention on our compact machine portfolio to provide customers with productive and sustainable products and services,” Bitter adds. “The people who join us in this journey will not only develop specialized skills in this important area but be playing an integral role in our wider purpose of building the world we want to live in.”
Volvo CE was early in leading the way by making an industry-first move to shift its entire branded compact range over to electric and stop development of new diesel variants, back in 2019.