Navistar Acquires Second Property In San Antonio Ahead Of Plant Launch In 2022

Rhea-AI Summary

Navistar International Corporation (NYSE: NAV) has acquired a new property in San Antonio, Texas, for over $275 million, aimed at supporting its under-construction manufacturing plant. The investment is expected to create 650 jobs, pending local incentives. The 900,000-square-foot facility will produce Class 6-8 vehicles, including electric trucks, and will house a validation center for electric vehicle components. This expansion aligns with Navistar's growth strategy, enhancing its technological capabilities and supporting initiatives in self-driving and electrification.

Positive

• Acquisition of a property in San Antonio for over $275 million supports the growth strategy.
• Creation of over 650 jobs in the region, pending local incentives.
• Expansion includes a state-of-the-art validation center for electric trucks.
• Aligns with Navistar 4.0 strategy to boost technological capabilities.

Negative

• None.

LISLE, Ill., Feb. 11, 2021 /PRNewswire/ -- Navistar International Corporation (NYSE: NAV) acquired a new property in San Antonio, which includes existing buildings that will house support functions for its under-construction plant in the area. Navistar's total investment in the region will exceed $275 million and create over 650 jobs, pending local incentive approvals.

The expansion in Texas is part of Navistar 4.0, the company's enterprise-wide growth strategy. Navistar's under-construction 900,000-square-foot plant in San Antonio will produce Class 6-8 vehicles, including new electric-powered trucks. The additional property will bring resources closer to manufacturing operations. 

"We're increasing our investment in San Antonio because local and state leaders have created a business climate that supports manufacturing innovation and has attracted a talented workforce," said Persio Lisboa, Navistar president and CEO. "Our Navistar 4.0 growth strategy is on track, and our new investment in San Antonio is another important step that will enable us to create a competitive advantage in the technology space."

The new property will also house a state-of-the-art truck validation center to test and validate components of the company's growing electric truck business, and a truck specialty center to provide post-production customization of vehicles to support customers' business needs.

"Our expanded footprint in Texas near our manufacturing plant will allow us to dedicate space to new technologies like self-driving and connected vehicles, as well as support our growing investments in electrification and fuel cells," said Phil Christman, president of operations for Navistar. "Our team in Texas will work in tandem with our colleagues at our Lisle headquarters, the Navistar Proving Grounds and other operations to support making best-in-class products." 

The new property is approximately eight miles from Navistar's under-construction plant in San Antonio. Project engineers responsible for designing and finishing the San Antonio plant expect to begin working at the new property by June 2021. The new site will host hiring events and training for future workers to support the launch of manufacturing operations at the San Antonio plant in 2022.

Navistar continues working with the San Antonio Economic Development Foundation, as well as local and state governments to support the company's growth in the market. Next month, the City of San Antonio and Bexar County will consider economic development incentives packages to support Navistar's increased investment in the region.

This new investment in San Antonio builds on other important steps Navistar has taken to drive its leadership in manufacturing advanced-technology products, including the company's investment of $125 million in its Huntsville, Ala. facility to produce next-generation big-bore powertrains.

About Navistar
Navistar International Corporation (NYSE: NAV) is a holding company whose subsidiaries and affiliates produce International^® brand commercial trucks, proprietary diesel engines, and IC Bus^® brand school and commercial buses. An affiliate also provides truck and diesel engine service parts. Another affiliate offers financing services. Additional information is available at www.Navistar.com.

All marks are trademarks of their respective owners.

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SOURCE Navistar International Corporation

FAQ

What is the purpose of Navistar's new property acquisition in San Antonio?

The property will support operations for Navistar's new manufacturing plant and boost capabilities in electric vehicle production.

What is the expected investment amount for Navistar's expansion in San Antonio?

Navistar's total investment in San Antonio will exceed $275 million.

How many jobs will the new property acquisition create?

The acquisition is expected to create over 650 jobs, pending local incentive approvals.

When is the San Antonio plant expected to begin operations?

The San Antonio plant is set to launch manufacturing operations in 2022.

What types of vehicles will be produced at the San Antonio plant?

The plant will produce Class 6-8 vehicles, including new electric-powered trucks.