AGCO Invests EUR 70 million in AGCO Power Facility in Linnavuori, Finland to Increase Sustainable Product Offerings and Support Future Growth

AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, is announcing a EUR 70 million investment in its Linnavuori plant in Nokia, Finland to accelerate further clean energy innovations.

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The picture shows AGCO Power's Linnavuori factory area. New investments are marked in the picture. Photo by: AGCO Power. Photo is in free use.

The extensive investment will allow the building of a clean energy laboratory to test fuel cells for alternative fuels and select electric drives that will reduce farmers’ fleet emissions. Improvements also include a training and visitor centre, a production hall for machining cylinder heads and manufacturing components for automated Continuously Variable Transmissions (CVTs), a paint shop and testing capabilities for remanufactured engines. The new buildings totalling 11,000 square metres and will be completed throughout 2024 and 2025.

“We are investing in the future of clean energy, Linnavuori and, ultimately, AGCO. By adding production capacity and research capabilities, AGCO Power is building capabilities to better serve our workforce and all farmers who are sustainably feeding the world,” said Juha Tervala, Managing Director of AGCO Power.

The AGCO Power Linnavuori plant employs about 1,000 employees; these investments lay the foundation for future growth. The latest additions illustrate a history of growth in Finland. In November 2023, the President of the Republic of Finland Sauli Niinistö recognized both AGCO Power and one of AGCO’s leading brands, Valtra, operating from Suolahti, with a long-term investment award. AGCO’s investments in the AGCO Power Linnavuori plant operations have totalled more than EUR 100 million over the past five years.

Testing new technology

In addition to diesel engines, AGCO is expanding its product technology portfolio by developing engines utilising alternative fuels and various electrical solutions that reduce emissions. The new research laboratory in Linnavuori is a natural extension of AGCO Power’s product development responsibility.

“The clean energy laboratory will house several cells for testing the combustion engines running on alternative fuels, as well as a range of electric solutions, such as hybrids, fuel cells and high-voltage battery technology,” said Mr. Tervala.