AGCO Corporation has announced a major expansion of its AGCO Power division in Linnavuori, Finland. The €54 million investment adds advanced production capacity, including a new machining hall dedicated to Continuously Variable Transmission (CVT) components and cylinder heads for AGCO Power’s next-generation CORE engines. This move further consolidates Linnavuori’s role as a global center of expertise for engine and drivetrain technology within AGCO.
Circular Economy Drives Remanufacturing Expansion
The investment also enlarges the remanufacturing facilities, nearly doubling the plant’s annual capacity from 1,000 to 2,500 engines. AGCO Power has a long history in remanufacturing, with structured operations dating back to 1990. Through the reuse of up to 80% of an engine’s mass—including cast iron components—remanufactured engines offer farmers a lower total cost of ownership while significantly reducing the carbon footprint compared to producing new units.
Supporting Future Power Generation and Clean Energy Research
Beyond traditional engine production, Linnavuori is home to AGCO Power’s clean energy laboratory, opened in 2024. The facility focuses on testing and developing lower-carbon powertrain technologies. With the addition of 5,600 square meters of production space, the site now combines advanced machining, sustainable remanufacturing, and clean energy research in one integrated hub for future-ready power solutions.
Impact on AGCO Tractor Brands
Engines from Linnavuori power AGCO’s flagship tractor lines, including Fendt, Massey Ferguson, and Valtra. By reinforcing both new engine development and long-term serviceability through remanufacturing, the expansion ensures these brands continue delivering reliable, efficient, and sustainable performance to farmers worldwide.
About AGCO
AGCO Corporation (NYSE: AGCO) is a global leader in agricultural machinery and precision ag technology. Headquartered in Duluth, Georgia, AGCO designs and manufactures tractors, combines, and smart farming solutions through its brands such as Fendt, Massey Ferguson, Valtra, and Precision Planting. The company’s Farmer-First strategy focuses on innovation that enhances productivity, sustainability, and profitability across global agriculture.
Source: AGCO Corp.
