Deere & Co. on Dec. 19 confirmed it plans to expand the manufacturing capacity at the John Deere Des Moines Works following the actions taken by the Iowa Economic Development Authority (IEDA) and the City of Ankeny to provide incentives to retain jobs in Iowa.
In applying for consideration under current programs of the IEDA and the City of Ankeny, Deere committed to the retention of 400 jobs as a direct result of the company’s expansion plans and said it plans to invest $85 million in capital improvements, including supplier tooling, to add a new 300,000-square-foot building for product assembly.
“This action is another important step as we continue to invest to meet worldwide customer demand for John Deere products,” said Mark von Pentz, president of Deere’s Worldwide Agriculture & Turf Division, in a written statement. “Expansion of the Des Moines Works helps us meet the need for equipment that John Deere customers use to meet the growing global demand for food.”
In the new building, John Deere Des Moines Works, located in Ankeny, Iowa, will add production capacity for self-propelled sprayers – a product already manufactured at the factory. Construction of the new building is set to begin in the spring of 2012 and Deere expects that manufacturing of products could begin by spring of 2013.
In total, current employment at the John Deere Des Moines Works is about 1,900, an increase of nearly 500 employees in the past 24 months.
“John Deere has many options when considering where to locate its manufacturing workforce and we are pleased to work with the IEDA and the City of Ankeny to ensure these jobs remain here in the Des Moines area,” John Teeple, the factory manager for the John Deere Des Moines Works, said in a press release. “Today’s [Dec. 19] announcement certainly positions this facility for a strong long-term future.”