John Deere is opening a new factory in North Carolina that will assume production of future generation excavators previously produced in Japan.

The Kernersville campus will produce the only excavator designed, developed and manufactured in the United States, according to Deere.

Alongside the excavator factory in Kernersville, North Carolina, Deere announced a new distribution centre near Hebron, Indiana. Both facilities are set to open in the next year.

In a speech in Clive, Iowa, on Jan. 28, President Donald Trump announced the two new American John Deere facilities.

“Our investment in these new facilities underscores John Deere’s dedication to strengthening the backbone of American industry and supporting local economies,” said John May, Chairman and Chief Executive Officer of John Deere. “We believe in building America, and these projects represent our intent to continue driving innovation and job creation in the United States.”

Deere recently broke ground on the Indiana distribution centre that is strategically located to enhance its supply chain capabilities nationwide. The facility will be designed to streamline operations and ensure timely delivery of equipment and parts. The Indiana project is anticipated to generate about 150 jobs.

“This new facility is an investment in customer expectations around world class product support through parts availability for our US based ag, turf, construction, forestry, mining and turf customers,” said Denver Caldwell, Vice President, Aftermarket and Customer Support. “Indiana’s strong workforce and central location make it an ideal choice for expansion.”

John Deere will continue to maintain its primary North American Parts Distribution Center in Milan, Illinois, which has been in operation since 1973 and employs about 1,200 people.

The new $70 million factory in Kernersville, North Carolina, will bolster John Deere’s manufacturing capabilities, leveraging advanced technologies to produce excavators for the construction market.

The facility will employ more than 150 people and will help meet equipment demand and strengthen Deere’s commitment to United States manufacturing innovation.

“We are excited to bring this new facility to our Kernersville campus and to be part of the region’s thriving manufacturing community,” said Ryan Campbell, President Worldwide Construction and Forestry and Power Systems. “Our focus will be on delivering excellence, creating jobs and advancing the legacy of John Deere in American manufacturing.”

The two new facilities are part of Deere’s commitment to invest $20 billion in United States manufacturing over the next 10 years.

“It is a testament to our confidence in the future of U.S. manufacturing and our unwavering commitment to innovation, quality, and economic growth,” May said.