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Wacker Neuson SE, Caterpillar Sign Strategic Alliance

Fri June 25, 2010 - National Edition
Construction Equipment Guide

The relevant executive bodies of Wacker Neuson SE, Munich, Germany and Caterpillar Inc., Peoria, Ill., have signed an agreement regarding the design, manufacture, distribution and support of Caterpillar mini excavators up to 3 tons (2.7 t). The aim of the cooperation is that the two parties form a long-term strategic alliance.

The agreement with a term of 20 years includes the development and manufacture of mini excavators with an operating weight of up to 3 tons designed to Caterpillar’s specifications at Wacker Neuson’s production plant in Linz, Austria. Wacker Neuson will leverage its manufacturing and product development capability to produce Caterpillar mini excavators in the under 3-ton category.

Caterpillar currently offers three models in this size range. The new model range will consist of up to seven machines. The mini excavators will be produced to Caterpillar’s technical and brand specifications and will be distributed and supported via Caterpillar’s global dealer network, with the exception of Japan. All Caterpillar models will be clearly differentiated from comparable Wacker Neuson models in the same product range. The additional volume in the first year of full production in 2012 will more than double the existing production volume of comparable mini excavators on Wacker Neuson’s production lines, according to the manufacturer.

“We know many customers are looking for more options in this size range, and this alliance will give those customers expanded choices to help them grow their business,” said Mary Bell, Caterpillar vice president with responsibility for the Building Construction Products Division.

“There also is an ideal cultural fit between Caterpillar and Wacker Neuson, as both companies have a strong focus on developing and supporting world class products. Over the years, Wacker Neuson has developed a strong reputation among our Caterpillar dealers, who have become familiar with Wacker Neuson’s Light Equipment products, which are available at Cat Rental stores,” Bell added.

The two companies recognize the benefits and synergies of utilizing Wacker Neuson’s development and production capacity and distributing machines via the respective sales networks — a move that will improve both companies’ competitive position, according to the companies.

By concentrating production of selected products at Wacker Neuson’s mini excavator production in Linz, Austria, the two companies will leverage joint economies of scale in the manufacturing and development process, while supplying their respective, complementary sales channels with differentiated, competitive machines.

“We are delighted at the prospect of what promises to be a long term strategic partnership for both companies as we move forward and probably will accelerate our investment in a new and highly efficient mini excavator production plant in Hörsching near Linz,” explained Georg Sick, CEO of Wacker Neuson SE.

The partnership will enable both parties to spread the cost of developing and modifying lower-emission products across higher volumes.

About Wacker Neuson

Wacker Neuson SE is a global manufacturer of light and compact equipment with more than 30 affiliates and more than 180 sales and service stations across the globe. Manufacturing activities are distributed across three German, one Austrian, two American and one Philippine production sites. Almost all products manufactured by the company are branded Wacker Neuson. The only exceptions to this in Europe are Kramer Allrad products and Weidemann-branded agricultural machinery.

For more information about Caterpillar, visit

For more information about Wacker Neuson, visit

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