Wacker Neuson and John Deere have agreed to partner on the manufacturing and design of excavators. Wacker Neuson will manufacture machines with operating weights less than 5 metric tons (including battery electric models), and Deere will develop and manufacture excavators with operating weights between 5 and 9 metric tons in collaboration with Wacker Neuson. Deere will have control over the design, manufacturing, and technology innovation for those machines, “leveraging a solid foundation from Wacker Neuson,” it said.
The move follows the dissolution of Deere’s excavator joint venture with Hitachi earlier this year.
John Deere will purchase and incorporate design and technical IP provided by Wacker Neuson, adapting and evolving it to meet its own manufacturing and innovation requirements. These models will be produced and launched on the market exclusively by John Deere, while Wacker Neuson will independently continue to develop, produce, and distribute its own 5-9 metric ton excavators under its own brand, according to Wacker Neuson.
For excavators less than 5 metric tons, Wacker Neuson will design and manufacture the machines at its facilities in Menomonee Falls, Wisconsin, as well as Linz, Austria, for the requirements of John Deere mainly for North America. The excavators will be distributed under the John Deere brand via John Deere’s global dealer network. The companies plan a phased introduction of models. All Wacker Neuson models in the same product range will continue to be distributed under the Wacker Neuson brand through Wacker Neuson’s own distribution network, according to Wacker Neuson.
“Excavators are an integral part of our customers’ jobsites, and we anticipate growing demand to continue,” said Domenic Ruccolo, SVP, sales, marketing, and product support for John Deere, in a prepared statement.
“We’re excited about the expanded agreement as it supports our goal of bringing productivity-driven features and industry leading technology to customers with greater agility,” said Jerred Pauwels, VP, excavators, strategy and business development, John Deere, in a statement. “Through this relationship, we’ll innovate faster, and offer additional features and performance differentiation for our customers.”
Wacker Neuson leadership stated:
“We are very much looking forward to adding another layer to our growth strategy through this OEM agreement with John Deere for mini and compact excavators,” said Dr. Karl Tragl, chairman of the executive board and CEO of the Wacker Neuson Group, in a statement. “Our relationship with John Deere has been a successful collaboration that spans many years in both the agricultural and construction sectors. Our product and manufacturing excellence complements John Deere’s established market reach in North America to open up outstanding business opportunities in the attractive mini and compact excavator market segment.”
Said Gert Reichetseder, president/CEO North America at Wacker Neuson, in a statement:
“This agreement with John Deere ideally complements our growth strategy in Americas. We already offer our customers excellent products under the Wacker Neuson brand and we will continue to place a strong focus on expanding our product portfolio for the North American market in the future. The cooperation with John Deere opens up additional sales channels for our high-quality mini and compact excavators.”
Source: John Deere, Wacker Neuson
