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Arctic Cat Investing to Expand in Minnesota

Arctic Cat Investing to Expand in Minnesota

Projects costing almost $27 million will address growing demand for recreational vehicles and related engines New paint line at Thief River Falls More engine capacity at St. Cloud 50 new jobs

Arctic Cat’s engine plant in St. Cloud, Minn., represents the smaller of two expansion projects.

Arctic Cat Inc. announced plans to invest close to $27 million in two manufacturing plants, projects that will result in about 50 new jobs.  The company designs and manufactures all-terrain vehicles (ATVs), side-by-side vehicles, and snowmobiles, as well as related component parts and accessories. 

The investments are intended to help Arctic Cat meet growing demand for its recreational vehicles. Earlier this year, Polaris, also a recreational vehicle manufacturer, outlined plans build a new manufacturing plant for off-road vehicles in Huntsville, Ala., seeking more capacity and greater production flexibility as it manages “rapid growth” in demand.

Much of Arctic Cat’s investment will be at its plant in Thief River Falls, Minn., where it will install a new paint line, a project that will cost approximately $26 million and establish approximately 39 new jobs.

The second part of the program will be to expand an ATV and snowmobile engine assembly plant in St. Cloud, Minn., adding about 10 positions.

“We are excited to strengthen our Minnesota manufacturing footprint and position the company for continued long-term success,” commented Arctic Cat president and CEO Christopher T. Metz.

The planned projects are eligible to receive local and state tax incentives, though the company did not indicate the value of those credits.

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