- Joint supplier and producer of China National 6 exhaust
emission control systems for commercial vehicles
-
Construction of new production plant in Yulin
- Sales
and after sales services for on-road/off-road commercial vehicles
including buses
ESSLINGEN, Germany and
SINGAPORE, Aug. 28, 2018
/PRNewswire/ -- Eberspaecher Exhaust Technology International
GmbH ("Eberspaecher") and China Yuchai International Limited (NYSE:
CYD) ("China Yuchai"), announced today the signing of a contract to
form a joint venture company - Eberspaecher Yuchai Exhaust
Technology Co. Ltd. ("JV Company"). The JV Company will produce and
sell exhaust emission control systems for Chinese commercial
vehicles to meet the highest domestic emission standard, China
National 6.
Eberspaecher will hold 51 percent shareholding interest of the
JV Company, with a Guangxi Yuchai Machinery Co. Ltd. ("GYMCL")
subsidiary - Guangxi Yuchai Exhaust Technology Co. Ltd - holding
the remaining 49 percent. A new production facility dedicated to
producing the joint venture's exhaust systems will be built at
GYMCL's current engine production facilities in Yulin City,
China. The establishment and
operation of the JV Company is subject to certain approvals to be
granted by the relevant government authorities in China.
The aim of the partnership is to develop, produce and market new
exhaust emission control systems for commercial vehicles. The China
National 6 emission standard will be the most stringent emission
standard in China and is expected
to be first implemented by July
2020.
Eberspaecher is an exhaust technology pioneer which is
intensifying its activities in the growing Asian markets. These
on-road systems for trucks and buses, as well as off-road
applications such as tractors or construction machines, will
improve the future environmental balance in China.
"As the market leader for commercial vehicle emission control
technologies in Europe and
North America, it is clear to us
that we can bring this expertise to Asia," emphasized Dr. Thomas Waldhier, COO of Eberspaecher Exhaust
Technology. "With China Yuchai as our strong partner, the
foundation is being laid to achieve a leading position in
Asia as well."
Mr. Weng Ming Hoh, President of
China Yuchai, commented, "Eberspaecher is a world leader in exhaust
technology with an exceptional track record over its 153-year
history. As an engine technology leader in China for on-road and off-road commercial
vehicles, we are excited to join forces with Eberspaecher to
capture the secular growth opportunities in emission controls in
China."
Rising concerns for the environment creates demand for more
effective emission reduction systems for trucks and buses in
China. "As a pioneer in exhaust
technology, we contribute to the environmentally friendly mobility
of tomorrow with our innovations and technologies. Together with
GYMCL, one of the major diesel engine OEMs in China, we will significantly contribute to the
successful implementation of the China National 6 emission
standard," adds Dr. York Zhao, Vice
President Business Unit Asia at Eberspaecher.
New plant in Yulin
To directly supply Asian commercial vehicle manufacturers, the
JV Company will build a production plant in Yulin City, in the
province of Guangxi. Over an area
of up to 12,000 square meters, the first exhaust control systems
will be produced at the end of 2019. In the first full year of
production, 160,000 systems are planned. In the long term, the JV
Company is expected to create up to 250 local jobs.
Commercial vehicle manufacturers which use Yuchai engines, will
benefit from the new joint venture in terms of sales and
after-sales activities, as they will receive engine and exhaust
technology from a single source. This cooperation also makes use of
Eberspaecher's expanded development activities at its Asian
headquarters in Shanghai. The
local Tech Center, which bundles the entire exhaust technology
testing expertise and prototyping activities for Asian customers,
is nearing completion.
Background of emission control
The new exhaust emission control systems are so-called
combination systems under China National 6 - the strictest
emission standard for particulates, nitrogen oxide and
hydrocarbons. This emission standard corresponds to Euro 6 in Europe
and EPA 10 in the USA. China
National 6 will result in a further reduction of 80% for nitrogen
oxides and 66% for particle mass compared to the China National 5
standard. The Eberspaecher commercial vehicle combination systems
consist of two main components: a Diesel particulate filter system
- consisting of an oxidation catalyst (DOC) and Diesel particulate
filter (DPF) - and a nitrogen oxide reduction system, which
includes urea dosing and SCR catalysts. In addition to the emission
function, these technologies also comply with the relevant acoustic
regulations.
Media Contact:
Anja Kaufer
Head of Public Relations
Eberspächer Group
Telephone: +49 711 939-0250
press@eberspaecher.com
Kevin Theiss
Investor Relations
China Yuchai International
Telephone: +1-212-521-4050
cyd@bluefocus.com
About Eberspaecher:
With approximately 10,000 employees at 80 locations
worldwide, the Eberspaecher Group is one of the automotive
industry's leading system developers and suppliers. The family
business, headquartered in Esslingen am Neckar, stands for
innovative solutions in exhaust technology, automotive electronics
and thermal management for a broad range of vehicle types.
Eberspaecher components and systems provide more comfort, greater
safety and a cleaner environment on or off the road. In 2017, the
Group generated revenue of around 4.5
billion euros. For more information, please visit
www.eberspaecher.com.
About China Yuchai International:
China Yuchai, through its subsidiary GYMCL, engages in the
manufacture, assembly, and sale of a wide variety of light-,
medium- and heavy-duty engines for trucks, buses, passenger
vehicles, construction equipment, marine and agriculture
applications in China. GYMCL also
produces diesel power generators. The engines produced by GYMCL
range from diesel to natural gas and hybrid engines. Through its
regional sales offices and authorized customer service centers,
GYMCL distributes its engines directly to auto OEMs and retailers
and provides maintenance and retrofitting services throughout
China. Founded in 1951, GYMCL has
established a reputable brand name, strong research and development
team and significant market share in China with high-quality products and reliable
after-sales support. In 2017, GYMCL sold 367,097 engines and is
recognized as a leading manufacturer and distributor of engines in
China. For more information,
please visit http://www.cyilimited.com.
Safe Harbor Statement:
This news release may contain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. The words "believe", "expect", "anticipate", "project",
"targets", "optimistic", "confident that", "continue to",
"predict", "intend", "aim", "will" or similar expressions are
intended to identify forward-looking statements. All statements
other than statements of historical fact are statements that may be
deemed forward-looking statements. These forward-looking statements
including, but not limited to, statements concerning China Yuchai's
and the joint venture's operations, financial performance and
condition are based on current expectations, beliefs and
assumptions which are subject to change at any time. China Yuchai
cautions that these statements by their nature involve risks and
uncertainties, and actual results may differ materially depending
on a variety of important factors such as government and stock
exchange regulations, competition, political, economic and social
conditions around the world and in China including those discussed in
China Yuchai's Form 20-Fs under
the headings "Risk Factors", "Results of Operations" and "Business
Overview" and other reports filed with the Securities and Exchange
Commission from time to time. All forward looking statements are
applicable only as of the date it is made and China Yuchai
specifically disclaims any obligation to maintain or update the
forward-looking information, whether of the nature contained in
this release or otherwise, in the future.
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SOURCE China Yuchai International Limited