Cummins Inc. signed a memorandum of understanding with KAMAZ Inc. to negotiate licensing its advanced Euro VI emissions technology to ZAO Cummins KAMA, the joint venture the Company operates with KAMAZ in Russia.
Under terms of the agreement, Cummins will provide emissions technology that will allow the joint venture to produce cleaner engines for its market in Russia. ZAO Cummins KAMA produces B series diesel engines (185-300 hp) at its facility in Chelny, Tartarstan, about 700 miles east of Moscow. The agreement was signed by Tom Linebarger, Cummins’ President and Chief Operating Officer, and Sergei Chemezov, Chief Executive Officer, of KAMAZ.
“We are pleased and excited to be able to offer this technology that will allow our partnership to meet the demand for ever cleaner, more fuel efficient engines,” said Linebarger.
Cummins and KAMAZ, Russia’s largest vehicle manufacturer, entered into the 50-50 joint venture in 2006. ZAO Cummins KAMA currently produces about 1,000 engines per month at the Chelny facility, which are then sold to KAMAZ and other vehicle manufacturers in Russia.
By 2014, most of Europe will require that emissions meet the more stringent Euro VI standards, and by 2018 those standards will take effect in Russia. Supplying the cleaner technology now positions the joint venture to meet its environmental targets early and enter into new markets both in Russia and Eastern Europe.