Eberspaecher and China Yuchai subsidiary form JV for emission control systems for commercial vehicles
Eberspaecher Exhaust Technology International GmbH and China Yuchai International Limited will form a joint venture company: Eberspaecher Yuchai Exhaust Technology. 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.
The new exhaust emission control systems are combination systems under China National 6. 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.
Eberspaecher will hold 51% 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%.
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, to produce and to 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.
To supply Asian commercial vehicle manufacturers directly, 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.
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.