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Navistar acquires engine components business from Continental

4 November 2009

Navistar concluded an agreement to acquire certain assets of Continental Diesel Systems US to manufacture key fuel injection components for its MaxxForce® diesel engines. The company also will establish a dedicated research and development facility to support Navistar’s diesel power system components. The company, renamed Pure Power Technologies, LLC, will vertically integrate research and development, engineering and manufacturing capabilities to produce diesel power systems and advanced emissions control systems.

Based in Columbia, South Carolina, Pure Power Technologies will operate a research and development center there as well as a manufacturing plant in nearby Blythewood, South Carolina. The Columbia and Blythewood facilities are former Continental assets. The acquisition of these facilities by Navistar prevents their closing as previously announced by Continental. Navistar and Continental will be working on a product transition plan between now and January.

Pure Power Technologies will support a number of Navistar’s strategic business goals: Ensure the continued delivery of MaxxForce® brand engines to the North American on-highway marketplace, including MaxxForce Advanced EGR emissions technology for 2010 and beyond; grow in other automotive and industrial segments in NAFTA countries; partner with new OEM customers in established and emerging markets under Euro emissions regulations; create a global platform for improvement in product quality, performance and fuel-efficiency; develop common quality and manufacturing processes across Navistar’s engine operations; and support Navistar Global Truck Group and Navistar Global Bus division in non-NAFTA growth areas.

Source: Navistar