Kubota to consolidate two U.S. subsidiaries
07 December 2023
Kubota Corp., Osaka, Japan, announced it is consolidating two of its U.S.-based manufacturing subsidiaries to support the North American market, which has grown to become the company’s largest in the equipment business. Kubota Manufacturing of America Corp. (KMA) and Kubota Industrial Equipment Corp. (KIE) will be consolidated effective January 1, 2024.
KMA, which is headquartered in Gainesville, Georgia, was originally established in 1988 as a manufacturer of tractor-mounted work equipment (implements). Today, it employs approximately 2,000 workers and manufactures general-purpose and small tractors. KIE was established in 2004 to shift production of implements from KMA. Headquartered in Jefferson, Georgia, it currently manufactures medium-sized tractors, construction equipment and tractor implements and employs roughly 1,500 workers.
KMA and KIE have already begun the process of integration of operations for the purpose of management efficiency, the announcement stated, including having a president and executives working concurrently at both companies and by integrating certain indirect functions, including the purchasing department.
Following the consolidation, the U.S. operations will become a single entity under KMA, with the goal of developing a structure that enables more efficient operations, effective use of human resources and a flexible production system capable of responding to fluctuations in demand.
KMA will continue to be based in Gainesville, with KIE’s manufacturing operations and employees moving to that location.