Deere Announces Major Investment in Russia

Deere & Company announced plans to significantly expand its presence in Russia, one of the most important growth markets of the company in both agriculture and forestry.

Deere said it has signed an agreement with the Russian government and local authorities to invest approximately $80 million in a central operations center which includes a distribution, replacement parts and training facility in the Kaluga region, 38 miles southwest of Moscow.

“We believe this is one of the largest single investment projects of a non-Russian farm and forestry equipment manufacturer in Russia,” said Robert W. Lane, Deere & Company chairman and chief executive officer. “Our strategic investment reflects Deere’s confidence in the Russian and other Commonwealth of Independent States (CIS) markets. It also recognizes the commitment of our dedicated Russian employees and the support of the Russian government and local authorities.”

In its initial stage, the new 98-acre facility in the Kaluga region will accommodate a 322,000-square-foot replacement parts distribution center, a training facility for dealer personnel, including a product demonstration site, and a whole goods distribution facility.