Yanmar started building a new tractor factory in Indaiatuba, São Paulo state, Brazil, with an investment of R$ 280 million (USD 50 million). The project, set for phased completion by 2030, will expand production capacity, integrate operations, and enhance processes to meet rising demand.
The 140,000 square meter facility, three times the size of Yanmar’s current local factories, will initially add capacity to produce 7,000 tractors per year, up from 5,000, and is expected to create about 100 direct and indirect jobs by 2029. The first 36,000 square meter phase is scheduled to begin operations in 2027.
Automated assembly lines, improved logistics, and advanced safety and ergonomics systems will modernize operations, while sustainability features such as natural lighting, photovoltaic energy, and automated lighting control will align with Yanmar’s global environmental goals.
“This new factory is essential for meeting market demand and advancing our growth in Brazil,” said Wagner Santaniello, Innovation and Marketing Manager at Yanmar South America.
“We aim to increase our tractor market share from 10% to 12% while maintaining leadership in mini excavators and expanding in other segments.”
The project will consolidate manufacturing with administrative, commercial, and executive offices for greater operational synergy. It will also implement the Yanmar Production System, based on proven manufacturing experience from Japan. Yanmar has been active in Brazil for more than 65 years and employs over 300 people at its Indaiatuba site.
The project will be completed in three phases:
- 2027: Production begins with the transfer of tractor, engine and generator manufacturing.
- 2029: Production capacity expands and the spare parts distribution center is enlarged.
- 2030: Completion of the integrated manufacturing campus, including administrative offices and training facilities.
