JCB Responds to New Tariffs with Major U.S. Expansion Plans

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JCB has confirmed that newly announced tariffs will have a significant short-term impact on its business but remains committed to long-term growth in North America and will be building a new factory in the wake of the new import tariffs.

Speaking today, JCB Chairman Anthony Bamford emphasized the company’s resilience:

“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, and President Trump’s policies have pushed us to explore ways to expand our manufacturing footprint in the U.S.”

Doubling Down on U.S. Manufacturing

JCB has long recognized the importance of North America as a key market. Last year, the company acquired 400 acres of land in San Antonio, Texas, as part of its strategy to increase production capacity.

Initially planning a 500,000-square-foot factory, JCB has now doubled the size of the project to one million square feet, investing $500 million in the new facility. Production is set to begin next year, with the plant expected to create up to 1,500 jobs.

This expansion builds on the company’s 25-year presence in the U.S., where its Savannah, Georgia, factory currently employs around 1,000 people.

Managing the Tariff Impact

JCB CEO Graeme Macdonald acknowledged the challenges posed by the new tariffs but remains optimistic about the company’s future:

“In the short term, these tariffs will have a significant impact on our business.
However, our new San Antonio plant will help mitigate the effects in the medium term. We’re also relieved that the tariff is limited to 10%, and we hope the UK Government will swiftly conclude trade negotiations to provide clarity and stability.”

Despite the short-term challenges, JCB’s aggressive expansion in the U.S. positions the company for sustained growth in one of the world’s most crucial construction equipment markets.