Caterpillar moves from Illinois after decades to Texas

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(Bloomberg) – Caterpillar Inc., the producer of iconic yellow construction and mining equipment, is moving its headquarters to the Dallas-Fort Worth area, ending its centuries-old history by calling the state of Illinois its home.

The machinery maker said the move was in its “strategic best interests,” without citing the benefits it would reap from relocating out of the Greater Chicago Area. The company said in a statement that it will begin moving its headquarters to Irving, Texas this year.

Caterpillar, with more than 107,000 employees worldwide, is the latest major company to set up shop in Texas, following in the footsteps of Tesla Inc., among others. The announcement is a blow to Illinois Governor JB Pritzker, who is seeking a second term in November’s election, and a boost to Republican Texas Governor Greg Abbott.

The transition comes five years after Caterpillar moved its Illinois headquarters from its longtime Peoria location to Deerfield outside of Chicago, a move at the time that rocked citizens of the city in which she had been building a global empire for over 100 years. . Caterpillar held its first Investor Day since 2019 in Dallas a month ago, introducing a new buyout plan. Then-CEO Jim Umpleby in an interview dismissed recession concerns, citing robust growth.

Peoria’s move in 2017 came as the company sought to bolster its push into overseas markets. At the time, he also officially dropped a plan to build a new resort in his hometown. Caterpillar said in the statement it has had a presence in Texas since the 1960s, but said Illinois remains its largest concentration of employees in the world.

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