Kobelco Construction Machinery Co., Ltd. will build a hydraulic excavator production factory in Spartanburg, S.C. The new factory will be incorporated into its North American subsidiary, Kobelco Construction Machinery U.S.A. (KCMU)., which operates in North America. With this factory construction, KCMU will be reorganized into a company with integrated production and sales.
After concluding an official purchase agreement for the planned construction site, Kobelco will begin site preparation in April 2015. The company will construct a building, install machines and equipment, and complete the construction in December, then begin mass production of the 20-ton model in January 2016. The site area will be approximately 340,000 square meters (85 acres).
Initial annual production capacity will total 1,800 units. The company plans to sequentially increase the menu and production in accordance with market development. Kobelco plans to produce standard models of heavy excavators for North America at the factory; special machines and mini excavators will continue to be supplied from Japan.