Kreisel Electric expands battery production for John Deere
Following John Deere’s acquisition of a majority stake in Austrian eMobility specialist Kreisel Electric, the US agricultural machinery manufacturer is investing in two additional sites with immediate effect to expand the production capacities of Kreisel batteries for electric and hybrid drive systems by more than 2 GWh.
In addition to the existing Kreisel production facility in Austria, the opening of a new plant is planned at the John Deere factory in Orléans-Saran, the manufacturer’s most important production site for engines in the EU. In parallel to this project, John Deere will also invest in battery assembly in the US.
The Austrian company does not give exact figures for the investments, but only mentions a “considerable capital commitment”. Since Kreisel can use the established structures of the John Deere plant in France, the company hopes to gain advantages in supply chain management, manufacturing technology, quality assurance, logistics coordination and state-of-the-art automation solutions that are already available in Saran. “We welcome this strategic investment to help us answer the ever-increasing international demand for Kreisel battery technology,” said Markus Kreisel, managing director of Kreisel Electric.
John Deere, in turn, is committed to providing its customers with “solutions that revolutionise the way they work while creating sustainable value,” according to the statement. “This investment will put a strong focus on the industrialization and automation of the entire production process, as well as research and development capacities at Kreisel HQ in Rainbach,” said Jennifer Preston, global director, John Deere Electric Power.
In December 2021, it was announced that John Deere would acquire a majority stake in Austrian eMobility specialist Kreisel Electric, and the deal was completed in early 2022. Since then, Kreisel Electric has continued to operate under its own flag, but the US company has secured access to the Austrian company’s battery and charging technology – and is now increasing its capacities.
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