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John Deere Freezes US Manufacturing in Major Shutdown
Bill Kesler flickr John Deere has been a successful and well-renowned company for nearly two centuries, providing reliable agricultural equipment in America and other countries worldwide. Generations of farmers have been buying reliable tractors and
While John Deere has been freezing key production sites in U.S. states, they’ve also been moving some of their production from Iowa to a foreign country south of the border. Projections suggest that by 2026, John Deere will have a new factory up and running in Ramos, Mexico, worth $55 million
As John Deere makes this radical move, it hasn’t gone unnoticed, especially those who are now in power. President Donald Trump warned the company that their Mexico-based operations could lead to increased tariffs. A 200% tariff on any John Deere equipment imported from Mexico was threatened, but the company is going ahead with its plans anyway
While many could see this as a betrayal on John Deere’s part, the long answer is much more complex than that. Manufacturing costs in the U.S. are skyrocketing amid tariffs and other economic factors. Global demand is also changing, which creates an environment where some companies may feel they are forced to adapt and find increased efficiency elsewhere to keep profit margins the same
A 200% tariff on any John Deere equipment imported from Mexico was threatened, but the company is going ahead with its plans anyway看来川总要考虑500%关税