John Deere Opens Russian Plant

Reuters

 

 

DOMODEDOVO, Russia, April 27 (Reuters) - Deere & Co (DE.N), the world's largest farm equipment maker, opened a manufacturing and parts distribution plant near Moscow on Tuesday, saying it was prepared to increase investment in the country.

 The plant -- Deere's single largest investment in Russia -- will make farm equipment including large tractors and combine harvesters as well as other equipment for use in construction and forestry.

"We are prepared to significantly expand our investment and operations here consistent with economic and market conditions," Deere Chairman and Chief Executive Samuel Allen said at the opening ceremony.

Deere said last July it had planned to invest over $500 million in new Russia projects.

"Most of the world's available arable land is already being farmed, clean water is becoming increasingly scarce and infrastructure is needed in many parts of the world to bring crops and forestry materials to market," Allen said.

"Russia has great advantages in all these areas and the potential to become one of the world's major food-producing areas, or bread baskets."

Russia has nearly 9 percent of the world's arable land, 20 percent of forestry and 8 percent of fresh water, Allen said.

The new plant will supply customers in Russia, the CIS and other nearby markets.

"Our plans are to work closely with our Russian customers and dealers and with the Russian government to help your country realise its aspirations to greater food security and food exports," Allen said.

Deere made its first major sale in Russia 100 years ago, supplying 900 ploughs to the Pacific city of Vladivostok.

Deere Attacked by Right for Supporting Climate Bill

DesMoines Register / Philip Brasher

Deere & Co. is coming under pressure to drop its support for legislation aimed at cutting greenhouse gas emissions. Two groups, FreedomWorks and the National Center for Public Policy Research announced today that they’re running ads in two cities with major Deere operations – Waterloo, Ia., and Moline, Ill. – aimed at generating complaints to company executives from their employees.

Deere is part of a coalition called the Climate Action Partnership – DuPont, parent company of Pioneer Hi-Bred is another one – that has been backing climate legislation.

The ads claim that a cap-and-trade system that the legislation would create to raise the cost of fossil fuels would eliminate many jobs.  Viewers are urged to call John Deere’s compliance hotline.

“Cap-and-trade will raise the cost of energy, which will drive high-paying manufacturing jobs overseas. As energy prices soar, Deere can shift its manufacturing to overseas plants in China, Brazil or India leaving its U.S.-based employees out in the cold. It’s time for Deere’s employees to voice opposition against a company policy that endangers their jobs,” said Matt Kibbe, president and CEO of FreedomWorks said in a press release.

The ads will run on CNN, Fox News, Headline News and the History channel.

The campaign against Deere comes as Democrats and the Obama administration are gearing up for a last-ditch, campaign-year push to get a climate bill through the Senate.