John Deere Reviews Construction and Forestry Sourcing

John Deere announced changes to its manufacturing footprint November 4, including production relocations and planned factory closures in Iowa, as the company works to align capacity with customer demand and strengthen long-term competitiveness.

As part of the announcement, Deere said its Construction and Forestry Division is evaluating strategic sourcing opportunities across its operations. The evaluation is intended to strengthen competitiveness, increase flexibility, manage costs, and support investment in critical capabilities, including product development, technology, field sales, and customer support.

The review reflects what Deere described as broader industry efforts to respond to changing market conditions, customer demand, and global cost pressures. The company did not identify specific sourcing changes or locations as part of the announcement.

Other manufacturing changes include relocating windrower production from Ottumwa Works, Iowa, to Des Moines Works by the end of fiscal year 2027. Round baler production is planned to move to Des Moines by the end of fiscal year 2028. Deere intends to close the Ottumwa factory after the transition.

Production of Hagie STS sprayers will move to Deere's Thibodaux, Louisiana, facility beginning in fiscal year 2028. Manufacturing operations at the Hagie factory in Clarion, Iowa, are expected to end by fiscal year 2029.

Small planter production will move from John Deere Seeding in Moline, Illinois, to the company's facility in Paton, Iowa, in fiscal year 2027. In fiscal year 2029, sugar cane harvester production will move from Thibodaux to Catalão, Brazil, where Deere already manufactures the machines. The company said the move will consolidate production and place it closer to the largest concentration of customer demand in South America. Thibodaux currently produces around 35 machines annually for the U.S. market.

Deere said the changes are intended to concentrate investments in modern, high-use facilities, advance manufacturing capabilities, and support its ability to invest through business cycles.

The company expects to continue serving customers without disruption during the transitions, with the goal of maintaining product quality, availability, and service. Deere also said it will work with employees, union representatives where applicable, local leaders, and community stakeholders as the changes move forward.

The company is committed to identifying the best future use for the Ottumwa and Clarion sites. Deere said its broader manufacturing strategy remains focused on strengthening its production network and continuing investment in U.S. factories, technology, and its workforce.