Caterpillar investing $725M in Indiana large engine plant

Local news and business publications have reported Caterpillar’s plans to invest $725 million to expand its Large Engine Center in Lafayette, Ind.

The Large Engine Center in Lafayette produces engines such as the 16-cylinder C175, shown configured in a 3,000-kW generator set. (Photo: Caterpillar)

The investment will include $100 million to expand the already 1.6 million-sq.-ft. manufacturing plant, including the addition of a 300,000-sq.-ft. testing facility. It will also include $625 million for new and updated equipment for the main plant for products related to Caterpillar’s Energy and Transportation business segment, along with on-site rail infrastructure.

The Large Engine Center produces engines for a variety of applications, including electric power, oil & gas, mining, marine and rail applications. The planned investment is the largest since the more than 40-year-old facility was built.

The manufacturing project is expected to create 100 full-time permanent positions over the next four years and help to retain the existing 1,895 full-time positions.

The Lafayette Redevelopment Commission recommended approval of two 10-year tax abatement requests totaling $100 million for the project.

The project is expected to be completed by the end of 2027.

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