Cummins Inc. and Beijing-based Beiqi Foton Motor Co. have signed an agreement to form a 50/50 joint venture company, Beijing Foton Cummins Engine Co. Ltd. (BFCEC) to produce two types of Cummins light-duty,
high-performance diesel engines in Beijing.
The engines primarily will be used in light-duty commercial trucks, pickup trucks, multipurpose and sport utility vehicles.
Foton, founded in 1996, is the largest producer in the light-duty truck market in China, selling more than 260,000 units in 2005. The two partners initially will invest a combined $126 million into BFCEC.
The joint venture plant will have an annual capacity of 400,000 units and will produce Cummins 2.8-liter and 3.8-liter clean diesel engines, which will meet stringent on-highway and off-highway emission standards worldwide, including Euro IV and above. BFCEC is scheduled to begin production in 2008.
Cummins, Foton to Produce Light-Duty Truck Engines in China
Cummins Inc. and Beijing-based Beiqi Foton Motor Co. have signed an agreement to form a 50/50 joint venture company, Beijing Foton Cummins Engine Co. Ltd. (BFCEC) to produce two types of Cummins light-duty
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