LISLE, Ill. -- Navistar International has announced it will adopt Cummins’ selective catalytic reduction (SCR) technology to help it fast track implementation of its In Cylinder Technology Plus (ICT+) emissions plan.
Navistar says it entered into a non-binding Memorandum of Understanding with Cummins to use its proven SCR system in combination with Navistar’s own in-cylinder emissions technologies.
By combining Cummins SCR with Navistar’s engine with advanced exhaust gas recirculation (A-EGR), Navistar says it will more quickly meet EPA2010 regulations and be prepared early for impending greenhouse gas emissions standards in 2014 and 2017.
“With this clean engine solution, we are taking the best of both technology paths to provide our customers with the cleanest and most fuel efficient engines and trucks on the market and to meet stringent US emission regulations,” said Dan Ustian, Navistar chairman, president and CEO.
During the transition, Navistar announced, it will continue to build and ship its existing engines, using previously earned credits and paying non-conformance penalties. Navistar also announced an agreement to offer the Cummins ISX15 engine in certain models beginning in January 2013. Its ICT+ solution will be offered in early 2013 on the MaxxForce 13.
“The actions announced today establish a clear path forward for Navistar and position the company to deliver a differentiated product to our customers and provide a platform for generating profitable growth,” said Ustian.
Meanwhile, Navistar projected its Q3 market share will remain flat at 17-18% of the Class 8 market and 35-36% of the Classes 6-7 markets.
“We expect to sustain our current market share through the balance of the year, and with the addition of ICT+ and an expanded model lineup, improve our market share in 2013,” Ustian said. “We expect to return to profitability in the fourth quarter and believe the company will be in a position to improve margins in 2013 as we realize the benefits of our integration and ongoing cost reduction initiatives. We look forward to providing further details of our plan to drive shareholder value on our third quarter results conference call in September.”