Hungarian automotive industry company Rába, on Monday, said it signed a five-year supply agreement with US farm machinery giant John Deere.
"The successful development project is of strategic importance to us, since it allows us to further increase the ratio of high added value products within our sales portfolio and to strengthen our positions in a strategic segment, the market of high-performance agricultural vehicles," said Rába chairman-CEO István Pintér.
He added that turnover in the segment could reach €30 million in 2012.
Rába has supplied John Deere for more than a decade. Rába signed an earlier five-year supply agreement with John Deere in 2008.
Under the latest agreement, Rába will develop axles for John Deere's 560 horsepower track tractor.