SAN ANTONIO, Texas – Navistar has announced it will build a US$250-million truck manufacturing facility in San Antonio, Texas.
“Over the last five years, Navistar has made significant investments to improve our position in the market,” said Troy Clarke, Navistar chairman, president and chief executive officer. “This investment will create a benchmark assembly facility to improve quality, lower costs and provide capacity to support anticipated industry growth, as well as market share gains.”
It will bring about 600 jobs to the area and will have the flexibility to produce Classes 6-8 vehicles. The announcement builds on Navistar’s recent announcement that it will invest $125 million into its Huntsville, Ala., engine plant.
The San Antonio site is along Interstate 35, which links Navistar’s southern U.S. and Mexico supply bases, which the company says will allow for significant logistics improvements.
Navistar plans to break ground on the property later this year and anticipates production to begin approximately 24 months later.
The announcement was made as part of the truckmaker’s Analyst Day in Lisle, Ill. During the event, Navistar told analysts it’s projecting 2020 retail deliveries of Classes 6-8 trucks and buses in the U.S. and Canada to be between 335,000 and 365,000 units.
Navistar also laid out a plan to increase its EBITDA margins to 12% by 2024.
“Navistar’s recent improvements in both market share and financial returns are sustainable and will grow in the years ahead,” said Clarke.
Troy Clarke (right) is promising a more profitable Navistar.