27 August 2005

Cummins Inc. and Scania CV AB have signed a joint venture agreement to produce next generation fuel systems for heavy-duty highway truck engines. The new system, called the XPI (Xtra-High Pressure Injection) system, will allow to reduce emission levels beyond what is possible with the HPI injection system currently produced by the companies.

The XPI common rail fuel system is expected to be manufactured by the Cummins-Scania XPI Manufacturing LLP, a 50-50 joint venture company located at the Cummins Fuel Systems facility in Columbus and at the Cummins plant in Juarez, Mexico. The first XPI systems will be produced in early 2006.

Cummins CEO Tim Solso and Leif Ostling, president and CEO of Scania, signed the joint venture agreement at Cummins headquarters. The initial investment in the new company is expected to be $31 million, split evenly between the partners.

Cummins-Scania partnerships on fuel systems development and manufacturing date back to 1992.

Source: Cummins