Pollution Standards for trucks are changing and sulfur in diesel fuel is also changing and many truck manufacturers have been working on this for many years. Some are making quite a bit of head way indeed. Soon all over the road 18-wheelers will run more efficiently and cleaner. Let’s talk about one of those companies now; Daimler Chrysler with their Caterpillar partnership.
Here is an excerpt of an article from back in 2002, as companies aligned themselves with partnerships in order to comply with the Clinton-EPA low-sulfur rules by 2006;
“DaimlerChysler-Catepillar joint venture is a major step in coming up with a non-sulfur high performance engine. This may give Freightliner and Sterling the only trucks with engines to perform with the new fuel requirements in cold weather states and mountainess terrain. Also it could possible be the only diesel engine allowed in a few years under CA emissions law as part of the AQMDs recent phasing out of non-clean burning engines on truck weighing over 14K GVW. Also with Volvo no longer allowing choice of engines on their future trucks to save on the stocking of parts and to prevent their customers from going to Select-A-truck routine maintenance centers owned by Freightliner who is owned by DaimlerChysler. This could also be a problem for TA Truck Stops because they usually house Select-A-Truck service centers that would not normally stock all the genuine Volvo truck parts in their new deal with two other manufacturers of engines. Can you say turf war? As new truck sales decline and lay offs already occurred at Freightliner, Kenworth, Peterbuilt, Volvo, International.”
Any time there are new regulations on fuel mileage efficiency, environmental controls or safety regulations the free market adapts in real time. Sometimes this causes chaos and thus opportunity for one competitor over another. I think this is one example of that, as we shall see many more such examples in the transportation and Auto Manufacturing markets in this year. So consider all this in 2006.
"Lance Winslow" - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/. Lance is a guest writer for Our Spokane Magazine in Spokane, Washington