WATERLOO, Iowa – John Deere has confirmed that some assembly operations at its Waterloo facility will be moved to Mexico.

The company says the move to consolidate the manufacturing of cabs is necessary in order to add new product programs to the Waterloo plant, KWWL reported.

“The decision to move cab production ensures the company can balance workforce needs within the tight labor market, while also ensuring Waterloo can open up floor space to manufacture new products,” said a spokesperson for John Deere.

UAW Local 838 President Tim Frickson told KWWL he was notified of the decision Wednesday morning and it’s his understanding that no layoffs are planned at the facility.

The company expects the cab production move to be complete by the end of the 2024 fiscal year.