Volvo Cars CEO Hakan Samuelsson has said long-term tariffs could jeopardize jobs at the Sweden-based, Chinese-owned automaker’s new plant near Ridgeville. The company invested $500 million to build its first U.S. production site in South Carolina. Volvo initially will employ 2,000 people to build the new S60 sedan this year in Berkeley County. By 2021, the company plans to double its investment to $1 billion and its workforce to 4,000 people when it begins building the XC90. Half of the cars produced in South Carolina will be for North American markets; the other half will be built for export to European and Asian customers. Volvo also will import vehicles to the U.S. from its plants in Europe and China. “That is a good example of how trade with cars should work in an open and free economy,” Samuelsson said on a recent visit to the S.C. plant for the S60’s unveiling.
Global ramifications Volvo executives and politicians who attended the S60 presentation did not shy away from discussing the tariffs.
Swedish Ambassador to the U.S. Karin Olofsdotter said companies in the U.S. and throughout Europe need to export and import supplies and finished products to facilities and customers worldwide, which in turn creates jobs and enables a global supply chain. She said tariffs make European companies hesitant about investing in the U.S. Executives and business groups have said tariffs hurt companies that rely on complex global supply chains and an international customer base, often raising prices for consumers and businesses. “It’s clear that the aerospace marketplace thrives on free and open trade around the world,” Boeing CEO Dennis Muilenburg told CNBC during the recent Farnborough International Airshow in England. S.C. Chamber of Commerce President Ted Pitts wrote a letter to members of the S.C. congressional delegation urging its members to talk with the Trump administration about reducing tariffs. He said that the state understands the need to scrutinize international trade agreements and trade practices, but he cautioned that large-scale tariffs would hurt S.C. companies.
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is a tax on every consumer who wants to buy a washing machine. Everyone will pay more, with fewer choices.” In March, the Newberry facility launched its second production line and is now producing both front- and top-load washers. Samsung has said it plans to produce 1 million washing machines at the plant this year. Attempts to reach a Samsung spokesperson produced another company statement in July. “Since the tariff was implemented, U.S. consumers have paid more for their washing machines across all brands,” the statement said. “ … Our commitment to U.S. consumers and our factory in South Carolina has remained unchanged, and we are continuing to supply the strong demand for our premium washing machines.” The company has hired more than 650 workers – 90% from Newberry County and surrounding areas – and has said it intends to hire 954 people by 2020. Samsung, Boeing, Sonoco, Daimler, BMW and Volvo Cars are among the many global companies with S.C. plants that rely on importing supplies and exporting finished goods to customers around the world.
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