Deere to close factories in Iowa

As part of its ongoing effort to optimize its manufacturing footprint and improve operational efficiency, John Deere has announced that it will implement the following manufacturing changes:

Windrowers and round balers: Due to changes in customer demand, and available manufacturing capacities, windrower production will relocate from Ottumwa Works to Des Moines Works by the end of fiscal year 2027, with round baler production planned to follow by the end of fiscal year 2028. Upon completion of the transition, Deere intends to close its factory in Ottumwa, Iowa.

John Deere will move Hagie sprayer producton out of Iowa by 2029. Hagie Manufacturing was founded in Clarion in 1947. (Photo: Chad Elmore)

Hagie STS sprayers: Beginning in fiscal year 2028, production of Hagie STS sprayers will move to Deere’s factory in Thibodaux, La. As a result, Deere said it intends to end manufacturing operations at the Hagie factory in Clarion, Iowa, by fiscal year 2029. John Deere acquired a majority stake in Clarion-based  Hagie Manufacturing in March 2016 and purchased the remainder of the company in 2020.

Sugar cane harvesters: In fiscal year 2029, sugar cane harvester production will move from Thibodaux and be consolidated in Catalão, Brazil, where Deere already manufacturers sugar cane harvesters. The move aligns production closer to the largest concentration of customer demand in South America and improves efficiency by consolidating production in a single location. Today, Thibodaux reportedly produces around 35 machines annually for the U.S. market.

Small planters: In fiscal year 2027, small planter production will move from John Deere Seeding in Moline, Ill., to John Deere’s facility in Paton, Iowa.

Construction and forestry: John Deere said its Construction and Forestry Division is also evaluating strategic sourcing opportunities across its operations to strengthen competitiveness, increase flexibility, manage costs, and increase investment in critical capabilities, including product development, technology, field sales, and customer support.

The company said the changes listed above reaffirm its commitment to U.S. manufacturing by aligning production capacity with regional customer demand and advanced manufacturing capabilities. By concentrating investments in modern facilities, Deere said it intends to preserve and expand critical U.S. manufacturing capabilities, enhance competitiveness, support American manufacturing jobs, and maintain its ability to invest through business cycles while continuing to serve customers well into the future.

The company said it expects to continue serving customers without disruption throughout these changes and is committed to identifying the best future use for the Ottumwa and Clarion sites.