Caterpillar to Invest $1 Billion in New Compact Equipment Factory in Sanford, North Carolina

Caterpillar announced on September 30 that it plans to invest approximately $1 billion in a new manufacturing facility in Sanford, North Carolina, to expand capacity for its Cat Compact business. The project was previously known by the code name Project Paragon.

Compact track loaders and telehandlers

The new plant will increase production of compact track loaders and telehandlers, machines used in construction, landscaping, agriculture and material handling.

A technology-enabled operation

Caterpillar said the facility will incorporate advanced manufacturing technologies, automation, digital production systems and integrated logistics. Its existing Sanford workforce will be upskilled to operate in the new environment.

Local incentives tied to 1,950 jobs

Lee County and the City of Sanford approved local incentive packages tied to Caterpillar’s investment of about $1 billion and at least 1,950 full-time jobs with an average annual wage of about $65,500. The state is also committing $2.6 million from its Industrial Development Fund Utility Account and $500,000 for rail.

Rod Shurman, President of Caterpillar’s Construction Industries Group said:

“As demand for compact equipment continues to increase, we’re investing to better serve this growing segment of customers. This investment is another way we are solving our customers’ toughest challenges by expanding access to the products, solutions and services they need to work more efficiently.”