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John Deere Acquires Deere-Hitachi Factories, Begins New License, Supply Agreements With Hitachi

Wed March 09, 2022 - National Edition
John Deere

John Deere has acquired full ownership of three Deere-Hitachi joint venture factories and has begun new license and supply agreements with Hitachi Construction Machinery. Effective Feb. 28, the two companies have ended their joint venture manufacturing and marketing agreements.

The changes were announced in August 2021 and were contingent upon regulatory approvals.

The former joint venture factories will continue to manufacture Deere-branded construction excavators and forestry equipment; they will discontinue production of Hitachi-branded products. The locations will now be referred to as:

  • John Deere Kernersville, Kernersville, N.C.
  • John Deere Specialty Products, Langley, British Columbia, Canada
  • John Deere Brasil Escavadeiras, Indaiatuba, Brazil

Through a new supply agreement with Hitachi, Deere will continue to offer a full portfolio of excavators.

Deere's marketing arrangement for Hitachi-branded construction excavators and mining equipment in the Americas has ended; Hitachi has assumed distribution and support of these products. Deere dealers may continue to support their existing field population of Hitachi-branded excavators.

With the completion of this acquisition, John Deere now controls its excavator design, product and feature updates, making it possible to more rapidly respond to customer requirements and integrate excavators with other Deere construction products.

"As we launch this new chapter, our legacy of innovation continues," John Stone, president, John Deere Construction & Forestry Division and Power Systems, said. "Going forward, we can leverage technology developed for other product lines and production systems across the Deere enterprise and extend those advanced solutions to Deere-designed excavators, strengthening the entire product portfolio.

"We continue our mission to answer the fundamental need for smarter, safer, and more sustainable construction so our customers can shape tomorrow's world."

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