Caterpillar: This is How We Will Pump Up the Economy

Construction equipment manufacturer Caterpillar (NYSE:CAT) says its planned expansion in South Carolina will not take any jobs away from Illinois.

The company, which is moving the production of large hydraulic cylinders from Joliet, Illinois, to its facility in Sumter, South Carolina, announced on Wednesday that it instead expected 80 new jobs to be created. “There is no employment impact expected in Joliet as a result,” a Caterpillar spokeswoman was quoted as saying in Chicago Tribune. The Joliet facility employs 23,000 workers.

Caterpillar will spend $20 million to add an additional 170,000 square feet to the Sumter plant. “This expansion is driven by growing demand for Cat products and will position our operations in both Sumter and Joliet to continue to grow and exceed customer needs as we drive toward Caterpillar’s strategy and goals,” company vice president Hans Haefeli said in a release.

Expansion work will begin immediately and is scheduled to be completed by the fourth quarter of 2012. Hiring is scheduled to begin toward the end of the year.

To contact the reporter on this story: Aabha Rathee at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com

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