"This new factory will enhance our opportunity to serve Chinese customers, as well as customers in other markets," said Samuel Allen, chairman and CEO. "This action represents a meaningful expansion of Deere's construction equipment division in China."
According to the company, China represents the world's largest and fastest growing market for construction equipment. Deere has been dealing in agricultural equipment in the country for 30 years, and began a joint venture to produce construction equipment there in 2008.
"This announcement is an example of our strategy to expand the global presence of Deere in the construction equipment industry,” said Mike Mack, president of Deere’s Worldwide Construction and Forestry Division. “Deere believes that we enhance our service to customers when we manufacture products, when possible, in the market where they are sold."