Caterpillar to Move Surface, Mining and Technology Division to Tucson

Caterpillar has announced plans to move its Surface, Mining and Technology Division offices to Tucson, Ariz., according to multiple news reports, bringing hundreds of new jobs to the southern Arizona city. Caterpillar already has a more than 70-year presence in Arizona with its Tucson Proving Ground and Tinaja Hills Demonstration Center locations already employing about 300 people.

Arizona officials said they aggressively pursued the division headquarters and made multiple trips to Milwaukee, where the division was previously based, to have a better understanding of the company’s mining equipment business and its employees. Much of the United States’ mining technology research is already done in Tucson in association with the University of Arizona. The state offered millions of dollars in incentives, including $50 million for an office building that Caterpillar would lease for 25 years, and $2 million in relocation money. The move will have a $600 million impact on Tucson, Arizona officials said.

Caterpillar said Tucson’s proximity to its proving grounds where machines and technology are tested and validated was a major factor in the decision to move to the area. Caterpillar also has a large plant in Monterrey, Mexico, and suppliers throughout northern Mexico. The move will bring Caterpillar employment in Arizona to almost 1,000 workers.