Volvo Trucks has confirmed it has increased its production capacity as demand for its products continues to rise.
The company said that production of new Volvo trucks is increasing, following positive signs of increased demand from customers.
Staffan Jufors, president and CEO of Volvo Trucks, said: "The market situation is still uncertain, but we see signs of recovery in terms of trucks. To meet the demand, we are now expanding capacity in some of our factories."
However, the current increases are for the short term said Mr Jufors, noting that the present uncertainty in the global economy is affecting developments.
Despite this, it is pleasing that signs of recovery are beginning to show, he added.
As a result of the production increases, Volvo factories in Umea and Tuve in Sweden are likely to see more work, while there could be fewer layoffs at the Gent assembly plant in Belgium, Mr Jufors said.
Earlier this week, the company confirmed it is to begin field tests of methane-diesel engines in its trucks, as part of a drive to improve overall efficiency and eco-friendliness.
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