Benefitting the purchasing operations
It will be very interesting to see what happens in terms of diesel engines for Class 8 trucks. All the Class 8 truck builders in North America offer the option of the Cummins ISX15 or as it is now called the ISX, a 15-litre engine. And, for patriotic reasons if nothing else, truck operators may feel inclined to continue down this road.
However, with Volkswagen on board, and MAN in particular, Navistar will be able to offer (and could be under some pressure from Volkswagen's top management to do so) the German company's D3876 15.2 litre engine offering similar performance to that of the Cummins 15.2-litre engine. Navistar's salesmen will be able to point to the other two MAN engines the Lisle company employs as an inducement for them using the new 15.2-litre engine. Added to which, once it has been homologated, the MAN engine could be cheaper than the premium Cummins ISX.
The Navistar salesmen will be able to point to MAN's 15.2-litre, with a peak output of 640 bhp, having a CGI block and head, as well as other attrubutes such as top-down cooling, domed valves, steel pistons, and EGR, SCR and CRT closed particulate filter.
All of which could have an impact on Cummins' engine sales as the ISX is used in a large percentage of International's Class 8 trucks. In the limit, this could represent a significant slice of lost business for Cummins.
It is conceivable that executives in the front office of Cummins Inc in Columbus, Indiana will not be smiling at all at these latest devlopments.
Three times greater than Navistar
This would suggest that Volkswagen’s commercial vehicle business is roughly three times greater than the size of Navistar.
Meanwhile, if Troy Clarke is rubbing his hands in glee, so too will be those in the front office in Wolfsburg. If all goes well, this deal will really open the door for Valkswagen's entry into the North American market.