SAGA releases “Project Paragon” notice: Caterpillar to invest $1B to expand manufacturing

Today, the Sanford Area Growth Alliance (SAGA) shared a press release: “As a valued member of the SAGA community, we would like to make you aware of this press release concerning Project Paragon,” with a link to information on Caterpillar. This notice links the code name “Project Paragon,” to Caterpillar’s expansion.

No SAGA representatives were available for comments at the time of the released information.

The press release reads:

IRVING, Texas, Sept. 30, 2026 /PRNewswire/ — Caterpillar Inc. (NYSE: CAT) intends to invest approximately $1 billion in North Carolina to expand manufacturing capacity for products that support its growing Cat CompactSM business, helping customers gain faster access to the machines they need to solve tough jobsite challenges and build homes, infrastructure and communities.

The investment includes plans for a new modern manufacturing facility in Sanford, North Carolina, designed to increase production of compact track loaders and telehandlers to meet customer demand. The project supports Caterpillar’s Cat Compact strategy, which is focused on delivering a more streamlined and convenient experience for small contractors and growing businesses.

“As demand for compact equipment continues to increase, we’re investing to better serve this growing segment of customers,” said Caterpillar Construction Industries Group President Rod Shurman. “This investment is another way we are solving our customers’ toughest challenges by expanding access to the products, solutions and services they need to work more efficiently.”

Compact track loaders and telehandlers are versatile machines used across construction, landscaping, agriculture and material handling applications. Customers rely on these products to move materials, manage jobsites, support workforce productivity and complete critical work safely and efficiently.

The investment will create a modern, technology-enabled manufacturing environment designed to improve safety, quality and operational performance while supporting long-term growth. The facility is expected to incorporate advanced manufacturing technologies, automation, digital production systems and integrated logistics capabilities to create a more connected and efficient operation.

North Carolina was selected for this investment because of Caterpillar’s longstanding presence in the state, the strength of the local workforce, and the opportunity to build on existing manufacturing expertise and operations in Sanford.

“We appreciate the partnership and support of the State of North Carolina, Lee County and the City of Sanford as we continue investing in the future of manufacturing and the customers we serve,” said Shurman.

This investment reflects Caterpillar’s continued commitment to U.S. manufacturing and workforce development. The company expects the project to create opportunities for advanced manufacturing careers while helping employees develop skills in areas such as automation, robotics, digital manufacturing and advanced production systems.

About Caterpillar

For more than a century, Caterpillar has built a better, more sustainable world. With 2025 sales and revenues of $67.6 billion, Caterpillar Inc. is shaping the future as the world’s leading manufacturer of construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. Backed by one of the largest independent global dealer networks and financing services through Cat Financial, the company’s primary business segments: Power & Energy, Construction Industries and Resource Industries are solving customers’ toughest challenges through commercial excellence and advanced technology, driven by a highly skilled, dedicated global team. Learn more at www.caterpillar.com.

LOCAL TAX DOLLAR INVESTMENT

Earlier this month, Lee County Commissioners conducted a public hearing for a proposed 12-year financial incentive for Project Paragon, a manufacturing initiative in Sanford anticipated to invest over $1.002 billion and sustain more than 1,950 full-time positions with an average yearly salary of about $65,528. Through General Fund revenues, the county will refund 80% of the company’s yearly property taxes, estimated at $46 million over 12 years.

The Sanford City Council approved an incentive package for Project Paragon worth about $39.5 million over 12 years.

Stay tuned. SAGA plans to share more information.

Sept. 30, 2026

Provided by SAGA

Subscribe to Sandhills News and support this conservative journalism with advertising.

Submit news tips, events and interview requests to editor@sandhills.news.

Sandhills News is plain-English local government reporting that explains how decisions affect your land, taxes, schools and rights.