Cummins, Scania form fuel systems joint venture

Cummins and Scania CV AB announced Aug. 26 they have created a joint venture that will produce next-generation fuel systems for heavy-duty, on-highway trucks.
The companies say Cummins-Scania XPI Manufacturing is a 50-50 joint venture that builds on partnerships dating to 1992. Cummins and Scania already work together to produce the HPI fuel system, which will be replaced by the Xtra-High Pressure Injection system. The companies say the new system will be manufactured at Cummins facilities in Columbus, Ind., and in Juarez, Mexico.

Joe Loughrey, president and chief operating officer of Cummins, said the XPI common rail fuel system will be instrumental in allowing the company to meet future EPA on-highway emissions requirements. Hasse Johansson, group vice president and head of research and development at Scania, said the system will provide the company’s customers the best possible operating economy and to reduce emission levels beyond what is what’s possible with existing technology.

The companies are initially investing $31 million in the joint venture. The first XPI systems will be produced in early 2006.