OTTAWA (KSNT) – A large manufacturing plant located near Ottawa will be receiving an upgrade according to an announcement on Tuesday.

The global business Kalmar, part of the larger Cargotec, will be expanding and upgrading its plant in Ottawa, which is home to the company’s terminal tractor manufacturing operations in North America. The investment measures up to $21,410,060 and will make it so that the plant’s annual production capacity can be doubled. This is expected to make it the largest terminal tractor manufacturing facility in North America, according to Kalmar.

A new assembly line will be added along with a purpose-built extension that will be used to manage and increase the flow of incoming materials. The current production line will be turned into a high-speed line for “rapid-build” distribution terminal tractors and a new “flex-line” with state-of-the-art technology to enable high-volume production of fully electric and high-end terminal tractor models.

“We are very excited about taking this huge leap forward in the North American market,” said Michel van Roozendal, President of Kalmar Mobile Solutions. “When the addition to the plant opens up in 2023 we will have achieved our vision of a Kalmar smart factory with fully digitalized assembly processes. Not only will it be the biggest terminal tractor manufacturing facility in North America by some distance, but it will also be a true American powerhouse for the manufacture of eco-efficient cargo-handling equipment.”

According to Kalmar, sustainability will be at the center of the expansion project. This will be accomplished through the plant employing eco-efficient lighting, maximizing the use of renewable energy and implementing material handling processes designed to minimize waste.

“This investment puts us in an excellent position to strengthen our market leadership in North America,” said Alan Wilson, Director of Operations at the Kalmar Ottawa Plant. “The new smart factory will drastically reduce our lead times while increasing the overall safety, quality and efficiency of our production process. We have a long history here in Ottawa and are excited to continue our growth in this community.”