Industry Focus – July 2008

People In The News

Following are personnel changes that recently occurred in the trucking industry:

  • The Mobile Air Conditioning Society (MACS) announced Pam Smith is its new events manager.
  • Thermo King Corporation named Ken Hartman its service contracts business development manager.
  • Maxi-Seal Harness Systems announced Tim Barnett is its new general manager.
  • Cummins promoted Steve Spaulding to vice president of the company’s engine business purchasing and supply chain.
  • Fontaine International announced several personnel changes: Terry Mennen was promoted to vice president of sales and marketing; Britt Caple was named key account sales manager; Scott Shearer was hired as corporate industrial engineer; and Toby Harris is the vice president of sales and marketing for Fontaine Parts Connection.
  • Distribution Service Technologies appointed Glenn Boone vice president of customer service.
  • Luber-finer named Hugo Morales international sales manager of its Aftermarket Sales Team.

Meritor WABCO releases Next Generation ABS
Meritor WABCO Vehicle Control Systems announced its “next generation” anti-lock braking system with an enhanced electronic control unit (ECU). The new system incorporates platform flexibilities, which enable advanced technology applications on a range of commercial vehicles.

“This ‘next generation’ incorporates the proven performance of the previous platform and adds enhancements in ABS, stability control and collision safety for bus, coach, military, tractor and straight-truck applications,” said Jon Morrison, president and general manager of Meritor WABCO Vehicle Control Systems. “We continue to evolve our vehicle control systems to offer our customers added features and flexibility as well as enhanced performance.”

Morrison added the anti-lock braking system is the foundation for the company’s pyramid of safety systems, including OnGuard Collision Safety System, Electronic Stability Control (ESC), Roll Stability Control (RSC) and advanced diagnostics and communications capabilities.


Caterpillar, Navistar to Pursue Strategic Alliance
In a long-anticipated announcement, Caterpillar Inc. and Navistar International Corp. revealed they have signed a memorandum of understanding to pursue global on-highway truck business opportunities and cooperate on a variety of engine platforms. The two companies intend to focus on global truck opportunities, including North American severe-service construction trucks, as well as technology development for engines worldwide.

In a related move, Caterpillar said it had determined independently that it will not supply EPA 2010 compliant engines to truck and other on-highway original equipment manufacturers. Instead, Caterpillar will work through its alliance with Navistar to target a 2010 introduction of a North American Cat-branded heavy-duty truck for severe-service applications, such as road construction, large infrastructure projects and oil and petroleum development.

“We are pleased to be matching the formidable talents and technology leadership of two industry leaders to serve an expanding base of engine, truck and equipment customers worldwide,” said Jim Owens, Caterpillar chairman and chief executive officer. “As the world leader in construction equipment and diesel engines, Caterpillar is now positioning itself for growth in the on-highway truck market. This is an important step for Caterpillar, and we look forward to working with Navistar for the continued benefit of our customers.”

“This relationship is a perfect example of Navistar’s strategy of growth through leveraging our own assets and those that others have built,” said Daniel C. Ustian, Navistar chairman, president and CEO. “In partnership with Caterpillar, we intend to extend our leading-edge product focus that we have in North America into the rest of the world.”

Caterpillar reassured its existing on-highway customers that they could count on the company. “Caterpillar and our dealers will continue to provide product support and service beyond 2010 for all Caterpillar on-highway engines regardless of truck brand,” said Douglas R. Oberhelman, Caterpillar Group president.

Caterpillar and Navistar envision a partnership that goes well beyond North America. The companies plan to develop, manufacture and distribute a full line of medium- and heavy-duty trucks in both conventional and cabover designs in select regions outside North America.

The companies also intend to expand their existing remanufacturing relationship to include Navistar’s recently introduced MaxxForce on-highway engines. The companies expect to pursue additional remanufacturing opportunities as new vehicles and
engines are developed.


Microsoft Profiles Karmak
Karmak, Inc. and its business system software products for the heavy-duty truck industry were recently profiled on Microsoft’s partner website.

“The Microsoft ISV (independent software vendor) Advisory Service helped us to build a strong core product that stands out from competitors, while speeding its release to public,” said Jeff Pigott, Karmak system architect.

Additionally, Karmak announced it recently installed its 100th Director Series service shop and parts inventory management system at Roadmaster Fleet Services, Inc., in Brooklyn Park, Minn.

The software package offers service shops, parts distributors and fleets with service operations a way to track unit repair costs, scheduled maintenance and parts inventory, says the company.


Cummins Fuel Systems Plant in China Begins Production
Cummins announced the opening of its first fuel systems manufacturing site outside of North America, the Cummins Fuel Systems Wuhan plant. Wuhan, the capital city of Central China’s Hubei Province, also is home to a regional Cummins service center and a technical center joint venture owned by Cummins and Dongfeng Motor Co. Cummins has made an initial investment of $10 million into the plant, which will manufacture Cummins common rail fuel pumps and CELECT injectors/fuel pumps, primarily for the China market.

The Wuhan plant joins Cummins Turbo Technologies (formerly Holset) and Cummins Filtration (formerly Fleetguard) to become the third Cummins components business unit with local production in the China diesel market. According to Cummins, when it opens its Emission Solutions exhaust aftertreatment plant in Beijing later this year, it will be the only foreign maker capable of manufacturing products in all four critical engine subsystems – filtration, air handling, fuel systems and exhaust aftertreatment – in the emerging China market.


Chevron Announces Brand Change
Chevron Products Company announced that beginning July 14, Chevron and Texaco Commercial and Industrial (C&I) lubricants will be marketed under the Chevron brand in the U.S. and Canada.

This action, Chevron said, will allow the company and its marketers to leverage the strengths and market equity of the Chevron and Texaco sub brands by offering the strongest products from both lubricant lines under the Chevron name. The outcome will be a single lubricant portfolio combining technologies from the Texaco and Chevron C&I lines.

This transition applies only to Chevron’s C&I product lines. The company said it remains committed to its consumer product lines, including Texaco Havoline and Texaco Xpress Lube, throughout the U.S. and Canada. Texaco-branded C&I products in Latin America, Europe and Asia will not be affected. Chevron’s Delo product family will remain the company’s premier commercial-grade diesel lubricant line.


Michelin, Love’s Travel Stops Strike Service Agreement
Michelin Americas Truck Tires and Love’s Travel Stops signed an agreement that puts Michelin truck tires and related products into the truck stops, as well as expands services at many of the locations to include tire and emergency roadside assistance.

“For over four decades, Love’s Travel Stops has grown with the trucking industry,” said Guy Pekle, vice president of Replacement Sales, Michelin Americas Truck Tires. “Love’s has earned a reputation of excellence in delivering much needed products and services for the over-the-road customers. Their commitment to providing outstanding service to the trucking community mirrors that of Michelin, which makes this agreement very beneficial for truckers coast-to-coast.”


Eaton Wins Blue Sky Award
Eaton Corporation won a CALSTART Blue Sky Award for its heavy-duty hybrid truck drive technologies. CALSTART, a transportation technologies consortium, presents its annual Blue Sky Award for “contributions to clean air, energy efficiency and to the clean transportation industry overall by companies, organizations and individuals.”

Eaton won the award for being “the world’s first in developing and bringing to market both hybrid electric and hybrid hydraulic systems for medium and heavy commercial vehicles.”


Detroit Diesel Offers Free Upgrades
Detroit Diesel Corp. announced that a free software release soon will be available for customers to improve fuel economy of EPA 2007-compliant Series 60 engines. These improvements, according to Detroit Diesel engineers, will increase fuel economy by up to 2.5 percent.

“Extensive testing of the Series 60 has shown our particulate filter regeneration process is more effective than originally anticipated,” says David Siler, director of marketing for Redford, Mich.-based Detroit Diesel. “The fact that the filters are staying clean, combined with some advancements in the regeneration software, allow us to enhance the regeneration process to improve the fuel efficiency for the engines.”

In addition to regeneration cycle modifications, Detroit Diesel also announced no-charge features that can enhance the vehicle’s shifting and cruise control operations.

The company says beginning July 1 customers can visit Detroit Diesel dealers and distributors to have affected engines reflashed at no cost.


Eaton Strikes Hybrid Bus Deal
Guangzhou Armada Development Corporation, Guangzhou Yiqi Bus Co., Ltd. and Eaton Corporation have formally agreed upon the purchase of 207 diesel-electric hybrid power systems to be installed in new buses for operation in the city of Guangzhou, China.

This purchase adds to the initial installation of 30 Eaton hybrid-powered buses announced in January as part of the U.S. Department of Commerce Clean Energy Trade Mission to China. The buses will be placed into passenger service throughout the year. Once deployed, this will be the largest single placement of hybrid-powered buses anywhere in China. It is also Eaton’s largest single hybrid power systems order to date.

Guangzhou Yiqi operates approximately half of the transit buses in Guangzhou, a city of 12 million people in China’s Guangdong province.


Brooks Range Supply Joins VIPAR
VIPAR Heavy Duty announced that Brooks Range Supply Inc. is the newest stockholder to join the VIPAR Heavy Duty network of distributors. Brooks Range Supply is a distributor in Prudhoe Bay, Alaska.

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