Agco rebrands Sisu Diesel
By Steve Skinner10 October 2008
Sisu Diesel, based in Nokia, Finland and acquired by Agco Corporation in 2004, has rebranded as Agco Sisu Power to better represent the company’s future engine ambitions.
“We are actively investigating alternative fuels and we think the new branding reflects this perfectly, while strengthening the bond between Agco and Sisu ,” said Hubertus Muhlhauser, senior vice president of Agco Sisu Power and general manager of engines.
“We believe that for the foreseeable future fossil fuels will continue to dominate, but Neste, a forerunner in this field, is actively pursuing renewable fuels and Agco Sisu Power has already approved the first generation of biodiesel (FAME) in all our non-SCR engines up to B100,” Said Eero Tomi, vice president and managing director.
“Second generation biodiesel produced from biomass will be approved across all engines, including SCR in the future,” continued Mr Tomi. “We are also testing dual fuelled engines using a small amount of diesel fuel for ignition and then natural gas, liquid gas or ethanol injection thereafter.”
“While we have spent € 9 million in research and development during 2008 alone and already looked seriously at alternative fuels , we are also going to increase production across new plants in order to achieve a target of 100000 units per annum by 2012,” said Mr Tomi.
“Alongside our manufacturing plants in Finland and Sao Paulo in Brasil we have also formed a 50:50 joint venture partnership with Concern Tractor Plants (CTP) of Russia to commence engine production in Vladimir in the Urals, 200 km east of Moscow,” said Mr Tomi.
“We are currently renovating the factory in Vladimir so that it meets western standards, and we expect 18000 engines to be produced there by 2012. The eventual aim is to produce 20000 engines per annum in Russia.”
CTP operates in 40 countries with cumulative 2007 sales of US$ 1,35 billion (€ 996 million). Alongside agricultural applications, CTP manufactures construction machinery under the Chetra brand and is one of the largest producers of heavy machinery and industrial equipment in Russia and the CIS.
Chetra produces compact wheeled loaders, bulldozers, wheeled loaders and pipe-layers as well as forestry and special purpose machines.
“The joint venture will create the first company in Russia and the CIS markets to manufacture world-class engines,” enthused Michael Bolotin, president of CTP. “Agco Sisu Power will gain access to a major new market and our group will have the opportunity to install modern, clean, fuel efficient engines in our machinery,” continued Mr Bolotin.
New 7 cylinder engine
While Agco Sisu Power announced its rebrand and eastern expansion, the company also unveiled its new straight 7 cylinder, 9,8 litre, 373 kW diesel engine. Featuring common rail injection and a low operating noise as a result of the cylinder configuration, serial production is scheduled for early 2009.
Much of the engine assembly in Nokia is now fully automated, the company having invested heavily in 80 industrial robots, but due to the relatively small production numbers for the 373 kW unit, assembly will be conducted on a manual line.
The addition of the new engine means Agco Sisu Power now produces seven engines ranging from 3,3 litres through to 9,8 litres.
“The extension of our range and expansion into new markets is just the first step in our planned expansion,” said Mr Muhlhauser. “Our off-highway reputation is based on our success in the agricultural sector, but I believe that through our joint venture with CTP and the production of our more powerful straight seven engine we now offer a viable and exciting option for the construction industry.”