Deere & Company to Build Construction Equipment Factory in China

    



    
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<p>MOLINE, Ill., <span class="xn-chron">Dec. 14, 2010</span> /CNW/ -- Deere & Company said today that it plans to build a new factory in <span class="xn-location">China</span> to manufacture construction equipment for sale in <span class="xn-location">China</span> and for export to other markets. The facility represents an investment of approximately <span class="xn-money">$50 million</span>.</p>
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<p>The new factory will produce four-wheel-drive loaders and excavators and will be located in the <span class="xn-location">Tianjin</span> Economic-Technological Development Area (TEDA). The facility will be Deere's sixth manufacturing location in <span class="xn-location">China</span>, two of which are joint ventures.</p>
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<p>"This new factory will enhance our opportunity to serve Chinese customers as well as customers in other markets," said Samuel R. Allen, chairman and chief executive officer. "This action represents a meaningful expansion of Deere's construction equipment division in <span class="xn-location">China</span>."</p>
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<p><span class="xn-location">China</span> is considered the world's largest and fastest growing market for construction equipment. Allen said that Deere's commitment to doing business in <span class="xn-location">China</span> dates back more than 30 years. John Deere's long history in the country was mainly in the agricultural equipment sector until 2008, when Deere invested in a construction equipment joint venture to build excavators.</p>
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<p>"Deere continues to pursue opportunities to grow around the world," Allen said. "We are pleased that we can add to our manufacturing capabilities to serve China's construction equipment needs as infrastructure improvements continue in the country."</p>
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<p><span class="xn-person">Mike Mack</span>, president of Deere's Worldwide Construction and Forestry Division, said, "This announcement is an example of our strategy to expand the global presence of Deere in the construction equipment industry. Deere believes that we enhance our service to customers when we manufacture products, when possible, in the market where they are sold."</p>
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<p>Mack said the location of the new facility in TEDA is close to an existing <span class="xn-person">John Deere</span> factory that manufactures tractor components. "Our experience shows that TEDA has been a good place to do business, with excellent support from public officials, availability of a talented workforce, and access to transportation and logistics - all of which are key factors in deciding where to locate a manufacturing operation," he said.</p>
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<p>Deere & Company (NYSE: DE) is a world leader in providing advanced products and services and is committed to the success of customers whose work is linked to the land - those who cultivate, harvest, transform, enrich and build upon the land to meet the world's dramatically increasing need for food, fuel, shelter and infrastructure. Since 1837, <span class="xn-person">John Deere</span> has delivered innovative products of superior quality built on a tradition of integrity.  For more information, visit <span class="xn-person">John Deere</span> at its worldwide website at <a href="http://www.JohnDeere.com">www.JohnDeere.com</a>.</p>
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For further information: For further information: Ken Golden, Director, Global Public Reputation Strategy of Deere & Company, [phone] Web Site: http://www.deere.com