Cummins and Navistar deepen their existing partnership with International now using new fuel-efficient Cummins diesel engines in its truck fleet.
Cummins Inc. and Navistar International Corp. announced their collaboration by expanding their long-term partnership. Navistar has chosen Cummins as their sole provider for medium and heavy-duty 15-liter and 16-liter big-bore fuel-efficient diesel engines. Navistar will use the engines for its International Trucks and IC Buses in the US and Canada.
Cummins has been providing Navistar with engines and transmissions for over 80 years, and the partnership has been quite a success for both parties. The Cummins X15TM Efficiency series and Eaton Cummins Endurant HD transmission, coupled with International LT® trucks, provide the best fuel economy in its class. With the partnership extending, both organizations aim to reduce the cost of ownership for truck customers.
“We have been working intimately with Navistar to coordinate our 2010 arrangements, and this understanding will convey the correct innovation to address clients’ issues for operational proficiency and low working expenses, with elite and unwavering quality”, said Ed Pence, Cummins vice president, and general manager.
“This new long-term contract with Cummins, in combination with our exclusive powertrains, will offer global clients the most competitive and fuel-efficient engines in the market,” added Phil Christman, president of operations for Navistar.
“Expanding this relationship through a drawn-out organization guarantees that the two organizations will have the option to work together and address the difficulties of the following discharges cycles and past.”
Government emissions for diesel-fueled motors will become much more restrictive in 2024 and 2027. To meet those standards, Cummins’ plan is to avoid using ozone-depleting substances with its X15 Efficiency Series. It guarantees the 15-liter engine to be the most reliable and eco-friendly currently available on the market.
Furthermore, the partnership extension will also help both companies bring out more innovative products. Together, they’ll be better able to tackle the challenges of reducing emissions while keeping the cost as low as possible for the end customer. Navistar also believes that the extension will open up their space in the international market.
Research and development costs related to new technology will also be significantly lower, profiting both organizations. Christman commented that “the extension of the partnership allows both companies to optimize future research and development investments in existing technologies as well as the flexibility to invest in advanced technologies.”
More than anything, both organizations celebrate this extension since, from a business point of view, the infrastructural and research investments will generate optimized results and cement both companies as industry leaders on the international market.
Cummins has been one of the biggest sellers of diesel truck engines in North America. In the first half of 2020, almost 34.7% of trucks on the road in the US were powered by Cummins.
Moreover, the increased need for logistics and operation rights generated a higher demand for swift and easy movement. In general, the truck segment will have a growth of 25%. And, with deals like these, it will be easier for organizations to evolve in their niche and make it more diversified.
As they say, there’s is strength in number!