A new electric vehicle factory is taking shape in eastern Slovakia. The Volvo plant near Košice is set to create thousands of jobs and bring new investment to the region.

The project also marks a shift for Slovakia's auto industry. The country is seeking Chinese investment as it builds its role in Europe's electric vehicle supply chain.

For decades, steel was the backbone of Košice. Now, the city is preparing for a new industrial chapter as Volvo builds a factory nearby, designed to produce up to 250,000 cars a year.

Marcel Giboda, Košice's deputy mayor, said the project could bring jobs to a region that has lost skilled workers.

"Slovakia is a really strong automotive country. I myself, I was working in the automotive sector before this position," Giboda said. "This plant for the whole eastern Slovakia is significant from different perspectives and mostly is that it offers really good paying jobs here."

Giboda was part of the team that helped bring Volvo to Košice. The city hopes the investment will keep skilled workers at home.

According to Giboda: "The people from eastern Slovakia will not need to travel for such technical jobs elsewhere to the western part of Slovakia or other parts of Europe. We can attract our countrymen back to the city, back to our region."

Impact

The factory is expected to create about 3,300 direct jobs, and the impact will extend beyond the plant. New demand is expected for housing, transport and services.

Giboda said the region has invested in infrastructure to support the project.

"We invested many hundreds, millions of euros into developing infrastructure right around the plant. The Valaliky Industry Park is created not only for Volvo, but also other investors and other suppliers for this for this sector."

The investment comes as Slovakia's auto industry faces change. The country is a major car producer in Europe. Its industry has long relied on Western European manufacturers.

Volvo brings electric vehicle production and Chinese capital to the region.

Martin Klus, a former state secretary at Slovakia's Foreign Ministry, said the project could open doors for more Chinese companies.

He told CGTN: "We can see problems within the European automotive industry and the growing power of the Chinese automotive industry, it's important to have Volvo car in the region. There are many more options for Chinese car industries to take place in Slovakia, which is well prepared for such an investment."

Volvo is owned by China's Geely Holding Group.

The project forms part of Slovakia's growing economic ties with China. Chinese investment is also entering the country's electric vehicle supply chain.

Klus said the relationship could extend beyond cars and batteries.

"We believe it will not be only EVs and batteries and there will be much more opportunities. And this is why Slovakia is very active in the relationship with China, especially in the last three years."

For Slovakia, Volvo marks a new chapter. The investment brings jobs, suppliers and closer economic ties with China.

It also places Košice at the center of the country's shift toward electric vehicles.