Recently, Foton Motor Co., Ltd. and Cummins Inc. of the United States have used energy-saving and emission-reducing diesel engines as a strategic approach to achieve breakthroughs in Foton Motors. Speeding After the first anniversary of the mass production of the Foton Cummins ISF series, Cummins and Foton Motor continued to promote this series to the European VI standard in Beijing. Currently, Foton Cummins is located in Beijing's Shahe factory, which is the only production base for this engine in the world. This has exceeded the technical specifications for the design of this engine. Cummins' ISF series diesel engines have fully considered the upgrade capability at the beginning of design, but only Euro III, Euro IV, and Euro V share the same platform for development. With strong inheritance, only critical components such as electronic control systems will be injected through the fuel system injection pressure. The upgrade can meet Euro V standards without the need for complex structural adjustments. This time, the ISF engine can meet Euro VI emission regulations after a certain improvement. For example, the post-processing control system and the engine control system are integrated to allow the engine and post-processing to work together to optimize the electronically controlled injection and exhaust gas circulation. Foton Cummins plans to start trial production in mid-2013 and mass-produce it at the end of 2013. Foton Motors' Ouma, New Sap, and Mongolian Pike will start with the Euro VI engine. This investment is about 680 million yuan. Later, Cummins announced that it authorized Cummins Kama, a Russian joint venture company, to use Cummins Euro VI emission standard technology. Cummins Carmaker is a joint venture company established by Cummins Engines and Kamaz Diesel Plant in 2006 with a 50:50 investment. The company produces 185-300 hp B-series diesel engines per month, and sells them to the Karmaz diesel engine factory and other Russian automakers. At this point, it takes about three years since the European implementation of the Euro VI emission standards was officially implemented, and most of the competitors in the emerging markets are still working hard to overcome the Euro III emission technology. It is precisely this situation that has made Cummins, the world's leading and only independent multinational engine supplier, go through a period of leadership and confusion over the past ten years. Its technology is leading, but the cost of R&D is also astonishing. In emerging markets, some local companies try different technology routes to meet lower emission regulations and win with low cost, making Cummins and other companies, who have always regarded technology leadership, at a loss. Their chances can only be extended to a longer-term future. At the European V and Euro VI standards after Euro IV, only common rail technology can currently achieve reliable volume production and use. In these areas, chasers are lack of R & D and production experience that funds can not bring. This time, through early deployment, Cummins can regain its leading edge. As the other party to the strategic cooperation, Futian did not waste this opportunity. In accordance with the European regulations, the European Union VI emission regulations were formally implemented in 2014. The time taken by Foton Cummins ISF to introduce Euro VI technology is also consistent with this. On June 24, Beiqi Foton Motor Co., Ltd. (Fukuda Motors) signed a memorandum of cooperation with the Moscow City Government of the Russian Federation at the Moscow City Hall. The Foton Motor Europe Automotive Division and the Russian Foton Motor Company were formally established. This is the first step of Foton Motor’s “5+3+1†global promotion strategy for 2011~2015. The cooperation between the two parties includes the positioning of the Russian Foton Motor Company as the European regional operation center of Foton Motors, with overall responsibility for the sales, research and development and investment management of Foton Motors in the European region; and investing in the construction of an annual output of 100,000 vehicles in the Russian Federation in 2012. The production base of the car covers the full range of Futian products such as light trucks, medium cards, heavy trucks, buses, CMB, MPV, pickup trucks, and SUVs. The products radiate throughout Europe. Fukuda will complete the construction of five major developing countries in Russia, Brazil, Mexico, India, and Thailand by 2015; and realize the development of the regional markets of the three developed countries of the European Union, North America, and Japan. The layout does not come in slow motion. Fukuda just laid the groundwork for the site in Weifang Hi-Tech Park a few days before advancing Euro VI domestic production. In the future, it may produce the Mongolian Parker model. From the time point of view, it should be the Euro VI model for export. Aiming for transformation The fierce competition in high-end light vehicles is indeed far from comparable three years ago. This makes Foton Cummins not only face competition from established companies such as Yunnei and Yuchai in China, but also competes with rivals who also have a strong technical background. On August 16, 2007, Dongfeng Chaoyang Diesel Engine Co., Ltd. announced that it has obtained the license from Navistar NV of the United States and will begin production of a new type of NGD 3.0-liter diesel engine for vehicles. This 3.0-liter in-line four-cylinder turbo diesel engine is designed to use an electronically controlled high-pressure common rail fuel system with piezoelectric nozzles. It currently meets Euro III standards and has the ability to upgrade Euro IV and Euro V emissions regulations. It is estimated that the annual production of the engine will reach 40,000 to 50,000 units. In the same year, Quanchai Power, a listed company in the field of light engines, collaborated with German ELSBETT, BOSCH, and the Shanghai Institute of Internal Combustion Engines to develop Euro III series diesel engines for small-diameter vehicles. Among them, the first Euro III emission 4D22E diesel engine is expected to complete all research and development work in August 2008, and an annual sales income of 600 million yuan will be realized. In addition, Jiangling had introduced two diesel engines, the R428DOHC and R425DOHC, from the Dai-Ke VM company in Italy in the previous years. Its original intention was to replace the already relatively backward 4JB1 diesel engine, and 4JB1 was the technology of the Japanese Isuzu Company in the 1980s. The displacements of the R425DOHC and R428DOHC are 2.5L and 2.8L, respectively. The main models featured are Landwind X6, Huang Hai Qi Sheng, Zhongxing Infinity and Changfeng Cheetah. JX4D24 introduced Ford's light diesel engine for Jiangling. The project started construction in December 2005. The challenge of upgrading in the mid-to-low-end light diesel engine makes today's high-end market scramble to become a giant feast. But there is no doubt that Foton Cummins is becoming an insurmountable benchmark for any engine company seeking to find gold in the high-speed development of China's light vehicle market. Compared with its rivals, Foton Cummins has enough advantages to enable it to lead the transformation of China's light diesel engine market in a shorter time. Cummins has more than 90 years of experience in the development of professional engines, an accurate understanding of engine trends, as well as its strong distribution network and brand recognition in the global market, and the strong domestic distribution capabilities of Foton Motor and the market background of the largest light vehicle manufacturers. All of them allow the joint venture company to have a clear advantage in terms of products, services, and markets, and significantly shorten the product market cultivation period. In addition, the special cooperation model of joint venture companies will make it difficult for competitors to replicate.
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Foton Cummins Deploys High-end Light Vehicle Power Market