Nohab Flygmotorfabriker AB was founded in Trollhättan, Sweden, in 1930 to produce aircraft engines for the Swedish Board of Aviation.

[5] It undertook the licensed manufacture of several engines, such as the Rolls-Royce Avon (referred to in Swedish Air Force service as the RM5 and RM6) and the Pratt & Whitney JT8D (RM8).

[5] During the 1970s, the firm decided to apply the experience it had gathered on the production and service of military aircraft engines towards the commercial aerospace sector.

[5] Seeking to further growth of its commercial operations, Volvo Flygmotor became involved in the European Space Program, producing a number of components for the rocket engines that power the Ariane of heavy launch vehicles.

[5] During July 2008, Volvo Aero and Rolls-Royce signed a risk-and-revenue-sharing agreement for the Rolls-Royce Trent XWB turbofan engine, under which Volvo Aero developed and manufactured the intermediate compressor case, a key engine component; the firm estimated this contract's value to be SEK40 billion over 40 years.

[5] In June 2009, SNECMA and Volvo Aero agreed on the principles of a five-year partnership between the two companies in the space propulsion sector.

[5][8] Following the start of the Great Recession in 2008, Volvo Aero shared in the general downturn in business activity.

[9] By 2011, Volvo was seeking to dispose of its aero engine division to focus on its production of trucks and construction equipment.

[12] During 2012, Volvo Aero declared that it intended to expand its engine component production range over the coming years.

[14] Use of this test facility was shared with Rolls-Royce, who used it in 1953 to develop the afterburners of the Avon RA7 engine for the Supermarine Swift F3 and Saab 32 Lansen.

Volvo Aero delivers engine components, mainly complex engine structures like turbine exhaust casings, turbine mid frames, LPT cases, compressor housings, LPT shafts, vanes, and large rotating parts.

Volvo Aero also has a facility in Trollhättan where they did maintenance on aircraft engines and stationary gas turbines.

The Stationary gas turbines is General Electric LM1600 engine, and the DR990, which Volvo bought the OEM responsibility from Dresser Rand.