Groundwork have just started on the 350,000 sq ft factory for JCB Cab Systems adjacent to the A50 in Uttoxeter, Staffordshire, next to two existing JCB plants.
The hi-tech factory will have the capacity to produce around 100,000 cabs a year when it opens next year.
JCB chief executive Graeme Macdonald said: “This new factory will be the most advanced and productive cab facility in the world and will bring even greater levels of efficiency to the business.
“The investment is one of the biggest in the company’s history and underlines our commitment to manufacturing in Britain and in our home county of Staffordshire.”
JCB Cab Systems currently employs more than 400 people at its existing site in Rugeley, Staffs.