JCB to double size of $500m Texas factory in response to tariffs

JCB is set to double the size of a $500m factory currently under construction in Texas in response to tariffs imposed by President Trump.
The machinery giant has confirmed that the tariffs will impact its business in the short term, but its new factory in San Antonio will “mitigate the impact” medium term.
Anthony Bamford, JCB’s Chairman, said that “President Trump has galvanised us into evaluating how we can make even more products in the USA”.
JCB has revised plans to increase the size of the plant to one million sq ft and will employ up to 1,500 staff.
The factory is set to make Loadall telescopic handlers and aerial access equipment, with production scheduled to start in 2026. The factory will also have the capacity to expand into the manufacture of other products in the future.
It acquired 400 acres of land in San Antonio last year to boost production of machines in North America, and planned to develop a 500,000 sq ft factory. The San Antonio site was earmarked to become JCB’s second largest plant, rivalled only by the manufacturer’s World HQ in Rocester, Staffordshire.
North America is the single largest market in the world for machines, with construction equipment manufacturers selling more than 300,000 machines a year.
JCB sold its first machine in North America in 1964 and opened its first manufacturing plant there in 2001 in Savannah, Georgia, which employs 1,000 people.
Anthony Bamford, JCB’s Chairman said: “JCB has been in business for 80 years this year and we are well accustomed to change. The United States is the largest market for construction equipment in the world and President Trump has galvanised us into evaluating how we can make even more products in the USA, which has been an important market for JCB since we sold our first machine there in 1964.”
Graeme Macdonald, JCB’s CEO said: “In the short term, the imposition of tariffs will have a significant impact on our business. However, in the medium term, our planned factory in San Antonio will help to mitigate the impact. We are thankful that the tariff is only 10% and we can only hope that the UK Government will conclude negotiations on a trade deal in the coming days and weeks.