Caterpillar Inc. this week said it plans to significantly expand its remanufacturing facility in West Fargo, N.D. The increased capacity will help meet the strong demand for remanufactured drive train components for large off-highway trucks and other mining equipment, including final drives, transmissions, torque convertors and steering clutches.
The $50 million investment will include a 225,000-square-foot addition that will house increased production capacity for high-tech machining and metal additive processes, as well as a state-of-the-art metallurgical lab. The expansion will also increase the facility’s production of new and remanufactured piece parts and advanced wear coatings. Construction is expected to begin in August 2011, with operations commencing in June 2012. When the expansion is complete and fully operational, Caterpillar expects to add roughly 250 additional workers over a three-year period, bringing the total workforce to approximately 550 in West Fargo.
“This expansion will increase our capability to provide unmatched customer support to the mining industry,” said Greg Folley, Caterpillar vice president with responsibility for the Remanufacturing & Components Division. “Remanufacturing is an attractive, growing and sustainable industry. Together with our remanufacturing facilities in Singapore and Shrewsbury, United Kingdom, we can now provide our mining customers drive train products with an unprecedented combination of availability, cost savings and support.”
The Caterpillar Remanufacturing Operation returns end-of-life components to “same-as-when-new” condition in terms of reliability, durability and performance. Remanufacturing reduces waste, minimizes the need for raw materials to produce new parts and supports the Caterpillar value proposition of providing customers with the lowest life cycle cost over the life of a product.
“Our facility in West Fargo has been producing remanufactured components for the past 40 years, and now we’re looking forward to the next chapter in our history,” said Dan Walerius, Caterpillar West Fargo facility manager. “We appreciate the support we’ve received from the state of North Dakota, the city of West Fargo and the Greater Fargo/Moorhead Economic Development Corporation in making this vision a reality.”
Headquartered in Peoria, Ill., Caterpillar Inc. manufactures construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives.