Cummins currently has four major joint venture power companies in China: Dongfeng Cummins, Xi'an Cummins, Chongqing Cummins, and Foton Cummins. Judging from the timing of joint ventures, Foton Cummins was established at the latest, but its development speed should not be underestimated.

Foton Cummins currently produces only two products, the ISF series 2.8-litre and 3.8-litre light-duty diesel engines. Cummins invested heavily in a new generation of future-oriented all-electrically controlled light-duty diesel engines with a power range of 80-125 kilowatts. Although only two products compete in the world, both shareholders are very optimistic about their market advantages.

For light diesel engines, these two products can be said to be leading domestically. Take emissions as an example. The two engines are the Euro IV standard. Euro III products are actually products that are deferred to meet the needs of the domestic market. At the same time, these two engines have reached the Euro V standard. The development of the Euro VI standard was also started in early 2011. In the domestic light diesel engine field, it is much more difficult to meet the National IV and National V standards than that of heavy-duty diesel engines. When domestic companies are still fighting for the National IV standard, Foton Cummins has produced nearly 5,000 Euro V engines in 2011 and exported them. Brazilian market.

According to reports, the Futian Cummins ISF 2.8 liters and 3.8 liters of light diesel engine has a compact structure, light weight, low noise, low emissions, suitable for light trucks, cards, light passengers, pickups, MPV utility vehicles, SUVs and other light vehicles , as well as off-highway equipment such as small construction machinery and small generator sets.

ISF 2.8-litre and 3.8-litre light inline four-cylinder high-pressure direct injection engines deliver more power and torque than comparable products of similar weight and size. Advanced thermal management systems allow the engine to operate at higher temperatures, reducing the size and cost of the vehicle's cooling system. Based on advanced computer simulation design, the ISF engine is lighter and more powerful than the same displacement product. At the same time, the modular construction design enables the platform to be quickly upgraded to meet more stringent emission standards in the future. According to reports, at present, Foton Cummins has realized the matching of light vehicle products with Futian Ouma, Ao Ling, Chery, Chang'an, Jianghuai, and Shuguang, and gradually became the supporting main force.

On March 26, 2008, Foton Cummins was announced. It took just over a year. On June 9, 2009, Foton Cummins officially went into mass production. The output rose from 1,800 two years ago to 55,000 in 2011. In fact, since Foton Cummins had just started production in 2009, there was basically no scale production. Actual production started in 2010, when the production and sales volume of Foton Cummins jumped to 10,000 units, and in 2011, it is expected to achieve production and sales of 55,000 units. In 2012, it could reach 100,000-110,000 units.

From the viewpoint of production and sales volume, Foton Cummins can say that it has reached a level of one year, and in particular achieved substantial growth in 2011. Judging from the market situation in 2011, the production and sales volume of commercial vehicles dropped significantly year-on-year, especially for goods vehicles. Experts expect that commercial vehicles will basically be hopeless to stop falling at the end of the year. In a time when the general environment is not good, Foton Cummins has not been affected, but has achieved growth.

The first is that the product is positioned in the mid-to-high end market. The demand of user groups in this market is relatively stable and is less affected by the external environment. As a new entrant, Foton Cummins is occupying this market. Domestically, as long as it is a medium-to-high-end light vehicle product company, such as Chery, Chang'an, JAC, and Shuguang, as long as it is a national IV vehicle, without exception, the choice of Foton Cummins engine.

Second, the overseas market is a strong support. From the perspective of market distribution, the domestic market accounted for 30% of Foton Cummins sales and 70% of overseas markets. For example, GAZ, the largest light commercial vehicle company in Russia, is a customer of Foton Cummins. After installing the Foton Cummins engine, it discovered that it was much better than the previous engine fitted, whether it was dynamic, reliable or economical. Overseas markets have grown very fast. Because of the demonstration effect of Muse, Kamaz and MAZ are all purchasing Foton Cummins engines. In addition, Foton Cummins has also performed well in the rapidly growing Brazilian market. These two factors make the commercial vehicle market in 2011 not good, but the impact on Foton Cummins is relatively small.

As a large-scale industry, the engine does not have a certain scale, and it is difficult to achieve sustained growth and profitability of the company, especially for new entrants. Futian Cummins, who was founded three years ago, is clearly aware of this and has accepted the more painful process. According to the original planning of Foton Cummins, the domestic market accounted for 70%, overseas markets accounted for 30%, but now it is upside down, and overseas has become the main market.

At the time when Foton Cummins was founded, it was predicted that the domestic high-end light machine market would grow at a faster rate. It was not expected that the implementation of the State III and State IV standards would be postponed repeatedly, casting a shadow over the development of this enterprise positioned in the mid- to high-end light engine market. But Futian and Cummins are not in a hurry and still have high hopes for Futian Cummins. Cummins's global board of directors visited Futian Cummins and saw the development of Foton Cummins. The board was surprised and felt that Foton Cummins was developing too fast. Both shareholders now have great confidence in the development of the company and have invested a lot. The high-end pickup P201 built by Foton will use the Foton Cummins engine, and Cummins has also set up a light diesel engine division for this purpose.

Therefore, Foton Cummins is not in a hurry. The domestic mid- to high-end light vehicle market will maintain stable growth. The distribution of domestic and foreign markets will have no impact on the overall operation. These are the cornerstones for the continued development of Foton Cummins. According to reports, the export markets of Foton Cummins are currently countries with relatively high emission regulations. The market is relatively stable due to Cummins engine technology and brand leadership. In addition, Foton Cummins is vigorously exploring the market for construction machinery and off-highway engines in order to take advantage of these two rapidly growing markets. Once the domestic market starts and the environmental protection regulations are implemented as scheduled, the advantages of Foton Cummins will become more apparent.

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