December 2017 Vol. 72 No. 12


December 2017 Business News


Kubota Tractor Corporation announced it will purchase 203 acres near Edgerton, KS, where it currently leases a facility, for its North American Distribution Center (NADC). The company plans to design and build two facilities, 1 million square feet each, to expand distribution capacity and streamline logistics processes for its increasing customer base in the U.S.

In addition, Kubota will establish a fifth U.S. operational division and sales office in Edgerton. Mike Jacobson, a 17-year Kubota veteran, will be director and manager of this new division, effective Jan. 1, leading the company’s efforts to expand its product offerings and markets in the Midwest.

Kubota’s NADC will continue to receive and process shipments from Asia and Europe, in addition to a number of daily truckloads of goods from suppliers in North America. It will continue to be the worldwide source for many Kubota parts, which will be exported globally.

Doosan Bobcat

Doosan Bobcat North America donated Bobcat equipment – including compact track loaders, compact excavators, all-wheel steer loaders and VersaHANDLER telescopic tool carriers – to the regional training centers of four regional vocational schools:

Conestoga College – Guelph, Ontario, Canada
Madison Area Technical College – Madison, WI
Minnesota State Community & Technical College – Moorhead, MN
State University of New York – Cobleskill, NY

The training centers’ programs provide quality instruction for service technicians and students on how to troubleshoot, service, repair and rebuild compact equipment, and on advanced equipment technologies. Through such donations to vocational schools, Doosan Bobcat supports and nurtures students’ aspirations in science, technology, engineering and mathematics (STEM) studies, thereby helping to energize a future pipeline of skilled professionals. These STEM programs are fundamental to the company’s continued success and growth of a qualified employee base.

“The hands-on training programs help take individuals’ natural talents and creativity and mold them into useful skills that can help build a rewarding career,” said Laura Ness Owens, director of marketing of Doosan Bobcat North America. “By partnering with vocational schools, we can help turn an interest in technology into valuable skills that can be used later on in the equipment industry. This partnership is something we take great pride in at Doosan Bobcat.”


Volvo Construction Equipment (Volvo CE) is bolstering its commitment to customer uptime with a new parts distribution center in the Greater Toronto Area, scheduled to open in early 2018.

The distribution center supports Volvo CE’s best-in-class customer experience initiative and allows Volvo dealers to restock both common and business-critical parts faster — a huge advantage for its more than 40 dealer locations across Canada. Currently, Volvo CE ships parts to Canadian dealers from the United States.

“Today’s customers have an expectation of next-day delivery, and the new distribution center, located near Toronto’s main international airport hub, will improve our lead times and give us the ability to deliver parts anywhere in Canada by early AM the next day,” said Ken Silverman, vice president, Aftermarket and Customer Solutions, Volvo CE Region Americas.

This is the latest move in Volvo’s ongoing work to provide industry-best parts delivery. The Support Distribution Center will be operated by Volvo Group Service Market Logistics. In addition to providing parts for Volvo CE dealers, the distribution center will also provide parts for Volvo’s other business areas.

In other news, market share gains in key segments, coupled with good cost control and growing demand in most markets, helped Volvo Construction Equipment post an especially strong performance during the third quarter of 2017.

Adjusted for currency movements, net sales in the third quarter increased by 34 percent and operating income jumping 237 percent. This represented a significant step up in operating margin. Profitability was positively impacted by higher sales, improved capacity utilization in the industrial system and again from the sale of Volvo CE’s dealership in Great Britain.

Net order intake in the third quarter increased by 45 percent compared with the same quarter in 2016. This was largely driven by higher intake from China, as well as growth in other Asian markets and Russia. Deliveries grew by 48 percent.

Also during the quarter, Volvo CE produced its 75,000th articulated hauler. Having produced more than half the articulated haulers ever made, about 50,000 Volvo haulers are still in regular use around the world.


CASE Construction Equipment extended its standard, full-machine warranty on all skid steers and compact track loaders to two years, 2,000 hours, up from one year, 1,000 hours. The new warranty applies to all models in both product lines, with skid steers ranging in operating capacity from 1,300 pounds up to 3,400 pounds, and compact track loaders rated from 2,700 pounds to 3,800 pounds.

“The new standard warranty reflects several enhancements made to the product line to improve performance and reliability,” said John Dotto, brand marketing manager, CASE Construction Equipment, “It signals our commitment to quality as we continue to evolve both product lines.”

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