CNH (NYSE: CNH) inaugurated an advanced virtual simulation ecosystem and automated logistics warehouse at its San Matteo research and development hub in Modena, Italy. The €21 million investment aims to accelerate product development and improve parts delivery across Europe.

The new simulation hub uses a virtual-first methodology to identify machine design issues early in the product lifecycle. CNH states this approach reduces development time by over 30%. The system operates as an integrated digital twin and includes three components: a dynamic simulator with a 6-axis motion platform, a multi-dyno test cell for powertrain validation, and an advanced sensor test track with weather simulation capabilities.

The facility also features an automated AutoStore logistics center designed to ensure parts availability within 24 hours for more than 1,200 dealers and workshops. The automated system reduces retrieval time from 15 minutes to under 30 seconds and can process up to 550 parts per hour. CNH reports the system provides 70% higher storage density and 85% reduction in physical strain compared to traditional warehouses.

"In a challenging global market, speed and precision are critical. At San Matteo, we are combining advanced simulation with automated logistics to reduce development time, improve product quality, and ensure faster parts availability for our customers across Europe," said Markus Mueller, President, EMEA at CNH.

The company claims the automated warehouse system achieves 93% annual energy savings compared to the previous system. The investment reinforces CNH's presence in Italy's Emilia-Romagna region, known as the "Tractor Valley."

CNH has established partnerships with local universities, including a renewed framework agreement with the Università di Bologna and ongoing research collaborations with the Università di Modena and Reggio Emilia.