February 19, 2016

Rolls-Royce and China Yuchai sign MTU production deal

Written by  IRJ staff
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Rolls-Royce, Britain, and China Yuchai International subsidiary Guangxi Yuchai Machinery Company (GYMC) have formed a 50:50 joint venture for the production of MTU diesel engines under licence in China. Both parties will invest RMB 75 million ($US 11.4m) in the joint venture.

The initial focus of production will be MTU series 4000 engines compliant with China Tier 3 standards for the off-highway market. The joint venture is said to offer Rolls-Royce better access to the Chinese market while GYMC will be able to offer its customers proven and advanced diesel engines.

Engine production will begin in 2017 with capacity for up to 1500 engines per year using components produced in Germany and China.

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