The new premises will be double the size of the existing facility, which is also in Cologne, and cover more than 51,000m².
Construction will begin later this year and the new HQ will open in 2015, to coincide with the 50th anniversary of the 1965 foundation of JCB Germany.
JCB chairman Lord Bamford said today: “Germany is Europe’s biggest single construction equipment market and the fifth largest in the world. JCB continues to make good progress in Germany with both construction and agricultural machinery sales. We have big ambitions to grow our business globally over the next few years and Germany will play an important role in delivering that growth. The time is now right to invest heavily in this vitally important market.”