Daimler Truck and Cummins Sign Strategic Partnership Agreement for CV Engines, Auto News, ET Auto
New Delhi: Daimler Truck AG and US engine manufacturer Cummins Inc have signed the framework agreement on their plan announced in February that they would enter into a global strategic partnership for medium-duty engines.
As part of this strategic partnership, Cummins will invest in the further development of the medium-duty engine platform as well as its worldwide production and delivery from the second half of the decade for Daimler Trucks & Buses. Daimler Truck AG will no longer invest its own funds in the development of its medium-duty engines for the Euro-VII emissions standard, the companies said.
Cummins Inc to Install Engine Production Plant at Mercedes-Benz Plant Site in Mannheim, Germany, for Local Production of Mid-Duty Engines Meeting Euro-VII Emissions Standard for Daimler Trucks and Buses . Production is expected to start in the second half of the decade.
Through this strategic partnership, Daimler Truck AG and Cummins will help maintain jobs at the Mannheim site. Cummins will use its existing footprint, strong production and supply chain networks in other regions to be successful in Daimler Trucks brands, including those of Daimler Trucks North America. Cummins continued to grow its presence and footprint across Europe as it expands its product portfolio for customers ranging from advanced powertrains to diesel, natural gas, electric, hybrids and batteries to hydrogen fuel.
âWe are very pleased to have been able to conclude negotiations of a framework agreement with Cummins so quickly. The cooperation prepares engine production at the Mannheim site for the future and at the same time strengthens our competitiveness. We will develop common solutions, always keeping in mind the interests of our customers, employees and the company â, said Martin Daum, Chairman of the Board of Directors of Daimler Truck AG and Member of the Board of administration of Daimler AG.
âWe are delighted to sign this agreement as we move forward in the collaboration to supply the medium duty engine systems for Daimler trucks and buses to global markets. Our partnership is a tremendous opportunity for both companies to be more competitive, drive global innovation, expand customer offerings and reduce emissions. We look forward to working with Daimler on this topic and exploring other potential opportunities to grow our respective companies, âsaid Tom Linebarger, President and CEO of Cummins Inc.