Isuzu, Cummins Agree to Start Tie-Up Talks

October 4, 2018

Tokyo- Japanese automaker Isuzu Motors Ltd. said Thursday that it has agreed with U.S. engine maker Cummins Inc. to enter talks on forming a comprehensive partnership in power source business.

The collaboration is expected to include joint development of environment-friendly diesel engines for next-generation commercial vehicles as well as electrified technology.

Details will be worked out within fiscal 2018, which ends in March next year, according to Isuzu officials.

The move comes as commercial vehicles are undergoing a rapid shift toward electrification. Isuzu aims to bring together the two makers' know-how to make development work efficient.

The Japanese automaker also aims to develop cost-competitive products through the alliance for sale in emerging market economies where demand for diesel vehicles remains brisk.

Isuzu's move comes after the company dissolved its capital tie-up with Toyota Motor Corp. in August.

Isuzu and Cummins have not discussed the possibility of a capital alliance between them, an official at the Japanese company said. Jiji Press