Volvo Construction Equipment of Sweden has been awarded contracts totalling approximately $30 million by the US government to build and deliver more than 200 units of construction equipment to the Iraqi government to be used in the reconstruction of that country.

The contracts, which are to be completed in two years, calls for the delivery to Iraq of 120 Volvo L120E wheel loaders, 28 Volvo EW180B wheeled excavators, 50 Volvo G710B motor graders, and 10 Volvo BL70 backhoe loaders. Manufacture and assembly of the equipment will be at Volvo CE plants in Sweden, Canada, Germany, Poland, and the US. Delivery of the equipment will begin next month, with an initial order of 60 wheel loaders, three-wheeled excavators, 22 motor graders, and two backhoe loaders.
The construction equipment will be shipped to the Iraq cities of Baghdad and Basrah and is owned by and under the control of Iraqi ministries.
In making the announcement of the contract award, James Peesker, director of governmental sales for Volvo Construction Equipment North America, said: “The primary reasons for the selection of Volvo products included its building of equipment to high performance specifications and standards, equipment with the capabilities of operating efficiently in extremely tough physical working conditions. And we are also able to meet very strict and critical delivery time requirements.”
Volvo CE has been operating in Iraq for several years and has developed a working relationship with local and regional Iraq leaders. The company has been able to move shipments of equipment with local approval and assistance to final destinations within the country. Volvo CE also has equipment support capabilities in place with a proven track record of working in Iraq.
Only companies within the World Trade Organisation or in the coalition countries engaged in Iraq were eligible to bid for these contracts. Volvo CE faced stiff competition for the contracts from major international equipment manufacturers.