MAN SE CEO Samuelsson

 

MAN SE’s chief executive, Hakan Samuelsson, unexpectedly resigned his post at the helm of Europe’s third-largest truck maker.

The resignation, which MAN said came at Mr. Samuelsson’s request and would take effect immediately, comes amid a bribery probe at the German truck maker. It also follows a rocky relationship with the chairman of both MAN and Volkswagen AG, Ferdinand Piëch, who thwarted Mr. Samuelsson’s bid to take over rival truck maker Scania AB of Sweden in 2006.

Mr. Samuelsson’s departure could open the door further to Mr. Piëch’s long-held wish to merge the two truck makers under Volkswagen’s umbrella. Volkswagen declined to comment.

MAN shares surged 4.9% in reaction to the resignation news, though closed just 0.3% higher at €59.70 ($88.72). Since MAN’s failed bid for Scania, Volkwagen has taken a controlling stake in the Swedish truck maker and increased its stake in MAN to 30%, setting the stage for a possible three-way tie-up.

The departure of Mr. Samuelsson, a Swede and nine-year veteran at MAN, follows a particularly turbulent period at the company, the No. 3 European truck maker by sales after Daimler AG of Germany and AB Volvo of Sweden.

In May, German prosecutors launched an investigation into bribery allegations at Munich-based MAN. The probe, which extends back to 2002, includes at least 100 suspects who were believed to be involved in bribes paid in Germany and abroad to secure sales of trucks and buses, prosecutors said.

A spokesman for the Munich prosecutors heading the probe, though, said they were surprised by the announcement of Mr. Samuelsson’s departure and didn’t believe it was connected with their investigation. Mr. Samuelsson, MAN’s chief executive since 2005, isn’t a suspect in the prosecutors’ probe, the spokesman said.

MAN hired an auditing firm to help conduct its own investigation shortly after the probe was opened. One management board member at MAN’s truck-making unit has since resigned and another was put on leave last month.

Mr. Samuelsson couldn’t be reached for comment and MAN declined to make him available. In a written statement, though, the company said that “he hopes that his decision will help the MAN Group to quickly devote all of its attention to its core business and its further development,” adding that Mr. Samuelsson was “convinced there should be a fresh start at the highest level of the company.”

Georg Pachta-Reyhofen, head of the company’s MAN Diesel SE unit, will act as interim CEO, MAN said.

In 2006, Mr. Samuelsson launched a hostile bid for his former employer, Scania, believing Volkswagen, which then owned a 30% stake in the Swedish truck maker, would support the deal. But prodded by Mr. Piëch, the German car maker and Scania’s other large investors ultimately blocked the sale.

Volkswagen has since taken a controlling stake in Scania and become MAN’s largest shareholder by increasing its stake to 30%, paving the way for Mr. Piëch to become MAN’s chairman. Mr. Piëch, who pulled off a similar coup with Volkswagen’s nearly completed takeover of Porsche SE, has long been open about his desire merge the two truck makers under Volkswagen’s umbrella instead.

Russian truck manufacturer Kamaz has created a joint venture with the Vectra Group to manufacture Kamaz’s heavy-duty trucks in India with an initial investment of $13m, according to The Economic Times.

Vectra is anticipating production volumes of up to 5,000 trucks at its Hosur plant in India, which will be modified to produce Kamaz trucks, over the next two to three years.

The news source said that the Kamaz range slated for production in India will include the multi-axle 6×4 and 8×4 classes, slotting in between products from major local players including Tata Motors and Ashok Leyland on one end, and Volvo at the other.

The joint venture is seeking to initially source around 30% of the components locally, and will include gearboxes and at a later stage, engines.

Akhat Urmanov, deputy director-general of sales and servicing at Kamaz as quoted by the news source, said: “We plan to sell around 1,000 of these trucks this fiscal. We will price them between the existing Indian players and Volvo.”

IntelliNews, the editorial arm of ISI Emerging Markets, delivers market moving news and reports in English for over 15 countries in Central and Eastern Europe, as well as regionally for the Middle East/ North Africa, Nigeria/ Ivory Coast, Sub-Saharan Africa, and Asia. At the core of the IntelliNews service are the daily reports. Each report is a two-page summary of the main market-moving events in a given country. Distributed 5 days a week, these dailies combine news, analyses, comments and forecasts, focusing on macroeconomics and country-specific politics, as well as major financial and corporate news.

In response to an increase in trucks illegally using New York state roads or ones with low clearances, Gov. David Paterson announced legislation that would dramatically crack down on truckers.

Truckers increasingly use Global Positioning Systems, which may direct them to take state roads off limits to trucks or with low clearances. The result has been more bridge strikes, where trucks hit overpasses and cause accidents and traffic delays.

The legislation, which reportedly might be introduced in January, would:
• Increase penalties for truckers who illegally use parkways.
• Allow officers on the scene to use their discretion to confiscate trucks stopped and ticketed.
• Require all large commercial trucks to use enhanced GPS that routes them away from restricted roads.
• Allow state and affected localities to recoup many costs associated with the bridge strike from the trucking company or its insurance carrier.

Mike Joyce, legislative director for the Owner-Operator Independent Drivers Association, said clear road signs exist informing drivers which roads are restricted. He said lack of driver training and allowing new drivers to rely too much on technology may be behind the bridge strikes.

“This heavy-handed scheme comes on the heels of recent tax, fee and proposed route restrictions for commercial vehicles,” Joyce said. “The governor is doing a great job of pushing New York to the top of the list of places where truckers least want to do business.”
Late last month, state police began an enforcement blitz. In one week, law enforcement issued 400 tickets to truckers who were illegally operating their vehicles on certain roads and parkways.

Most tickets were issued to out-of-state drivers using non-commercial GPS devices, according to Patterson’s office.

The state transportation department said 81 percent of overpass strikes by trucks were caused by GPS guidance.

New York has contacted 20 GPS and mapping providers on upgrading software to account for low clearance bridges and overpasses. Also, a task force has recommended starting pilot programs to test both low- and high-tech ways to warn drivers of upcoming bridges or road closures, such as moving warning signs farther up the road and using infrared beams to detect a truck approaching a road it should not be entering.

State officials have also talked to the National Insurance Crime Bureau of possible insurance discounts for truckers using upgraded GPS devices with truck routing information.

Monthly auto sales, which are reported Thursday, should be the news highlight of the week.

Everybody knows sales will be down, of course. The question is, by how much, and whether the results tell the market anything about the strength or stubbornness of the economic recovery underfoot.

I think October sales will be a more important indicator, given that inventory will have been replenished and consumers will have had time to adjust to the idea that the worst might be behind us.

October has long been truck month, when automakers roll out their big discounts on prior model year trucks.

GM has launched its annual fall truck incentive program, which runs through early November, Automotive News reports. Ford Motor runs a similar program every year, but GM had considered pulling back on the annual event and spending its marketing dollars on building its post-bankruptcy brand.

With the biggest car stimulus of the decade, the federal cash-for-clunkers program behind us, I’m guessing there will be many takers on big trucks, which will give profits a boost as long as automakers don’t discount too heavily.

If truck sales don’t see a respectable uptick in October, that doesn’t bode well for the strength of the economic recovery under way.

In other news:

 Consumers are getting antsy waiting for those electric cars, folks. Free Press staff writer Brent Snavely wrote on Sunday about how the majority of electric cars coming to market will go to businesses and other fleet customers first.

Golf carts?

 Now, the Wall Street Journal reports that drivers are just hitting the road with electric golf carts – often known as NEVs, or “neighborhood electric vehicles.”

While the WSJ was busy spotting golf carts, though, our friends over at Jalopnik.com found a real gem: 1976 Sebring-Vanguard Citicar, an old electric car with a top speed of 36 m.p.h.

This should all remind us this Monday morning: Where there’s a will, there is, indeed, a way.

Trucks still in?

 Finally, if you didn’t catch Autoline Detroit on Sunday, GM’s global product czar Tom Stephens talked about his philosophy about keeping the automaker’s lineup balanced.

 Translation: Detroit might be ramping up the electrics, but it isn’t giving up on trucks.

Although Ford has placed an end to the life of the Ford Ranger pickup in 2011, the company is increasing production over the next three months to meet up with small pickup truck demand. The demand seems to be spawning from the federal government’s Cash for Clunkers program, where owners can trade in their old “clunker” for a new automobile.

Sales wise, Ford sold more than 3,000 Rangers last month, an increase over the same time period in 2008.

Nashville, Indiana-based FTR Associates has released preliminary data showing Class 8 net orders for all major North American OEMs totalling 10,758 units in August, the strongest showing since November 2008. The figure includes orders for the US, Canada, Mexico and exports.

Order activity for August was 19.9% better than the previous month and represents an annualised rate of 129,096 units.

According to Eric Starks, president of FTR: “FTR is cautiously optimistic about the increased August preliminary Class 8 net orders. However, we believe some of the orders being placed are in response to 2010 EPA emissions requirements. We still expect any recovery in the transportation industry to be slow and bumpy through next year.”

In a separate announcement, the US Department of Labor’s Bureau of Labor Statistics (BLS) has revealed that employment among for-hire trucking companies in August dropped 0.3% on a seasonally adjusted basis from July levels – the smallest decline in a year. Payroll employment is down 9.5% from August 2008, according to the preliminary figures released on 4 September.

With the estimated 4,000 jobs lost in July, the trucking industry has shed more than 81,000 jobs since the end of 2008 – a decline of 6%. Job cuts since July 2008 total 131,500. The BLS numbers reflect all payroll employment in for-hire trucking, but exclude trucking-related jobs in other industries, such as a truck driver for a private fleet.

Seasonally adjusted trucking employment peaked in January 2007 at more than 1.45 million, according to BLS figures. Since then, for-hire trucking companies have shed 194,900 jobs, or 13.4%.

A new era in Ford diesel technology arrives with the Ford-engineered, Ford-tested and Ford-manufactured 6.7-liter Power Stroke V-8 turbocharged diesel engine.

Debuting in the next-generation F-Series Super Duty truck, the new diesel engine will deliver significant improvements in torque, horsepower and fuel economy while adding more fueling flexibility and easily meeting stringent new emissions requirements.

The new diesel 6.7-liter engine also shares the Super Duty’s legendary reliability and durability while delivering best-in-class towing and payload.

“This all-new diesel engine has been so extensively tested both in the lab and in the real world that we’re confident we’re giving our customers the most reliable and productive powertrain available today,” said Derrick Kuzak, group vice president of Global Product Development. “Our Super Duty customers demand reliability and durability in their trucks so they can deliver the best results for their business and their customers. That’s exactly what this engine delivers.”

The diesel engine team made improvements and changes throughout the engine architecture to deliver on aggressive horsepower, torque, emissions and fuel economy targets. The 6.7-liter Power Stroke uses an “inboard exhaust” architecture, an automotive-industry first for a modern production diesel engine. It combines the best of proven technology with new, patented approaches backed by an extensive laboratory and real-world testing regimen to assure customer satisfaction.

Benefits of the new 6.7-liter Power Stroke V-8 turbocharged diesel engine include:

o First use of a compacted graphite iron (CGI) engine block in a Super Duty-class vehicle in North America; stronger than regular gray cast iron, Ford has successfully used CGI in engine blocks in products around the world. The block structure was optimized for reduced weight and maximum strength to meet the demands of higher torque and horsepower
o Unique inboard exhaust and outboard intake architecture, an automotive-industry first for a modern production diesel engine, reduces overall exhaust system volume, which leads to better throttle response for the customer; additionally, reduced exhaust system surface area minimizes heat transfer to the engine compartment and improves NVH (noise, vibration, harshness)
o The new engine architecture enables easier service work for all major engine components, potentially reducing down time. On turbocharger service, for example, the body/cab no longer has to be removed from the frame to access the turbo; also, the high-pressure fuel pump, EGR (exhaust gas recirculation) components and thermostats are directly accessible from the front of the vehicle
o Honeywell’s single-sequential turbocharger features an industry-first double-sided compressor wheel mounted on a single shaft. The unit is uniquely center-mounted on a pedestal low in the back of the valley for improved NVH. This turbocharger design allows the single unit to deliver the benefits of a twin-turbocharger system in a smaller, more efficient package, combining the benefits of a small turbocharger (faster response) and a large turbocharger (ability to compress and force more air into the engine for more power) in one unit
o The high-pressure Bosch fuel system injects fuel at up to 30,000 psi. The system delivers up to five injection events per cylinder per cycle using eight-hole piezo injectors to spray fuel into the piston bowl. The direct-injection system is calibrated and phased for optimum power, fuel efficiency and NVH
o Aluminum cylinder heads for reduced weight; the mid-deck construction with dual water jackets provides increased strength and optimal cooling; also, six head bolts, instead of four as found on other engines, help improve sealing and maintain cylinder integrity even with the higher firing pressures; overall the engine is about 160 pounds lighter
o Compatible up to B20 fuel, allowing greener fueling options of up to 20 percent biodiesel and 80 percent petroleum diesel

“Our Super Duty customers are no-nonsense, no-compromise individuals,” said Barb Samardzich, vice president, Global Powertrain Engineering. “Those are the attributes our team took to heart when engineering this all-new diesel engine so we can deliver ‘Built Ford Tough’ capability, reliability and enhanced productivity.”

Rugged block and proven components
The capability and reliability found in the new 6.7-liter diesel engine starts with the engine block. The new Power Stroke’s block is made from compacted graphite iron (CGI), which is about twice as strong as regular gray cast iron. While this is the first use of a CGI block in North America in this class of vehicle, Ford has successfully used the material in engine blocks in other products around the world.

“Using a CGI block is the perfect solution for the new 6.7-liter Power Stroke,” said Adam Gryglak, lead 6.7-liter diesel engineering manager. “It provides the strength necessary for the increased torque and horsepower produced by our new engine, and it also offers significant weight savings.”

The diesel engine’s deep-skirted block and main bearing caps are cross-bolted for additional stiffness and to aid NVH. The cylinder heads mirror the engine’s attributes as a whole, with lighter weight combined with increased robustness: The cylinder heads are made of aluminum to save weight and, for improved sealing, feature six head bolts per cylinder versus the four head bolts found on other engines.

The cylinder heads, which feature dual water jackets, are capable of firing pressures approaching 2,600 psi. The tall water jacket works as a manifold, flowing high-velocity water for cooling and adding to the structural robustness in the head to handle the higher firing pressures. Crankshaft durability is improved through Ford’s unique undercut and fillet roll treatment to relieve stress.

The valvetrain features patented dual hydraulic lash adjustors, which improves the performance and reliability of the valvetrain by using two pushrods per cylinder instead of the conventional single pushrod, with individual rocker arms. Other proven components round out the engine hardware, including fractured-split connecting rods and a fuel system capable of generating 30,000 psi to feed the common-rail direct-injection fuel system.

The oil pan, which bolts to the transmission, also acts as a structural member for improved powertrain stiffness and adds to Ford’s legacy of virtually bulletproof lower-engine architecture.

‘Built Ford Tough’ testing protocol to ensure durability
The testing protocol developed for the 6.7-liter Power Stroke V-8 turbocharged diesel incorporates the most rigorous engine tests found in Ford globally to ensure 250,000-mile durability. Extensive CAD (computer-aided design) and CAE (computer-aided engineering) work was completed to identify any potential challenges before hardware was created, which not only is time efficient but also helps ensure quality at the outset. Further, a comprehensive examination of warranty and quality tools was used to determine the expected failure modes for every component and system.

Customer data, including driving styles, road types and vehicle usage (towing and payload), also played a key role in developing the testing program that best replicated Super Duty use.

Components were torture-tested in the laboratory with a regimen designed to exceed what even the harshest user might dish out. Engines literally ran continuously for hundreds of hours. Finally, a battery of in-vehicle, real-world tests validated the work done in the laboratories.

The strict testing work also ensured the new engine is B20 compatible, which allows customers an environmentally responsible fueling option of using blends up to 20 percent biodiesel
and 80 percent petroleum diesel. Durability cycles were run on multiple blends of diesel fuel to ensure the robustness of the system.

“These cross-functional tests give us the full spectrum of Super Duty customers – from those who run their trucks at maximum power with a maximum load for long periods to those who use them more in a start-stop mode,” said Ed Waszczenko, lead engine durability engineer.

All-new design for all-new engine
One of the obvious visual differences in the new 6.7-liter Power Stroke V-8 turbocharged diesel engine is the layout of the pipes. The exhaust manifolds, for example, reside in the valley of the engine instead of outboard, while the intake is outboard of the engine. The cylinder heads are essentially flipped around in comparison with previous V-8 engine architectures.

This unique layout – an automotive-industry first for a modern production diesel engine – has several advantages. First, the overall exhaust system volume is reduced, meaning air can be fed to the single turbocharger quicker for faster spool up and reduced lag, resulting in improved throttle response for the customer. The improved packaging also places components that need to be in cooler air away from hot exhaust pipes, resulting in better thermal management and, by extension, better fuel economy.

“The physical size of the system is smaller, but more importantly, the air-handling part of the system is considerably smaller and that translates directly into the responsiveness of the engine,” said Gryglak, noting that the volume of the exhaust system feeding the turbocharger is smaller by about 50 percent because of the inboard architecture.

Combining two turbochargers in one package
The single-sequential turbocharger – an industry first – is key to the new diesel engine’s performance. The unit has two compressor wheels driven off one turbine impeller. This approach combines the benefits of a single inertia wheel – faster response without lag –
with the thrust of a larger turbocharger, with the ability to force more compressed air into the engine for more power.
The engine’s smaller exhaust volume combined with a corresponding smaller intake volume and smaller turbocharger creates a system that is quicker to boost, more responsive and better able to deliver horsepower and torque, especially at the low end, when the customer demands it.

The turbocharger includes an advanced variable nozzle turbine, which enables variable vane pitch angles, driving optimal turbine power to achieve optimal boosting levels for all operating conditions. The single shaft ensures the transition is seamless. The unit – compact in dimensions – is uniquely center-mounted on a patented pedestal low in the back of the valley instead of hung off the block, which helps balance the system and aids NVH characteristics.

Combustion system clean and powerful
The combustion system is the heart of the new 6.7-liter Power Stroke V-8 turbocharged diesel engine and in many ways encapsulates the careful balancing act the Ford team achieved in terms
of power, fuel economy and reduced emissions. The key factor in the next round of federal emissions standards, which begin in 2010, is the reduction of oxides of nitrogen (NOx). To help reduce NOx, the new Power Stroke burns cleaner, thanks to an innovative way Ford developed to cool the exhaust gas recirculation (EGR) to efficiently recycle the combustion gases in the system.

Ford’s system runs the engine with the least amount of oxygen possible in order to reduce NOx without degrading performance and fuel economy. Ford’s solution runs the EGR through a two-step process utilizing separate cooling sources, something not typically seen. The end result is the EGR is brought into the intake at a lower temperature, which means more of it can be utilized, creating greater efficiency throughout the system.

A unique piston bowl design and the high-pressure fuel-injection equipment are huge enablers in achieving the balance of power and lower emissions. The system can deliver up to five injection events per cylinder per cycle, while eight holes in the injector spray fuel into the bowl.

The compressed-air ignition unique to diesels is aided by pilot fuel injections before the piston reaches the top, allowing the charge to heat up even hotter than what you get under normal compression.

“Then when the main injection occurs, we can mitigate NVH because we have a slower ignition process,” said Gryglak. “When the fuel burns, it doesn’t burn with a traditional pop or bang.
The direct-injection system is calibrated and phased for optimum power, fuel efficiency and NVH.”

The new 6.7-liter Power Stroke V-8 turbocharged engine features instant-start glow plugs, allowing quick start even in extremely cold temperatures.

How the new Power Stroke meets new emissions standards
The new 6.7-liter Power Stroke V-8 turbocharged diesel will employ an aftertreatment system to help comply with 2010 federal regulations to reduce nitrogen-oxide levels in diesel emissions by more than 80 percent compared with the previous standard. The Ford aftertreatment system is a three-stage process; a key component is the use of Diesel Exhaust Fluid (DEF).

Injection of DEF to reduce NOx is a proven technology that’s been used throughout the automotive industry. Unlike other solutions used to control NOx, the DEF system allows the diesel engine to run at its optimum range in terms of fuel mixture. Some systems require the engine to run richer – which can be harmful to diesel engines – in order to control the NOx.

Step One: Cleaning and Heating – The first step in cleaning the diesel exhaust occurs when the exhaust stream enters the Diesel Oxidation Catalyst (DOC). The role of the DOC is twofold. First, it converts and oxidizes hydrocarbons into water and carbon dioxide. This conversion happens at about 250 degrees Celsius.

Second, the DOC is used to provide and promote heat, using specific engine management strategies, into the exhaust system. Through appropriate thermal management, this heat increases the conversion efficiency of the downstream subsystem(s) in reducing emissions.

Step Two: Knocking Out the NOx – The next step in the process is what’s known as Selective Catalytic Reduction (SCR). In this process, the NOx in the exhaust stream is converted into water and inert nitrogen, which is present in the atmosphere and harmless. Before the exhaust gas enters the SCR chamber, it is dosed with DEF, an aqueous solution that is approximately 67.5 percent water and 32.5 percent pure urea.

When heated, the DEF splits into ammonia and carbon dioxide. These molecules are atomized, and vaporized, then enter a mixer that resembles a corkscrew. This twist mixer evenly distributes the ammonia within the exhaust flow. The ammonia enters the SCR module, which contains a catalyzed substrate, and through chemical reactions combines and converts the NOx and ammonia into the harmless inert nitrogen and water. Dosing occurs between 200 and 500 degrees Celsius.

Step Three: Scrubbing Away the Soot – The final part of the cleansing system for the diesel exhaust gas involves the Diesel Particulate Filter (DPF). The DPF traps any remaining soot, which is then periodically burned away, known as regenerating, when sensors detect the trap is full. The regeneration process sees temperatures in excess of 600 degrees Celsius to burn away soot.

Quieter, more refined diesel sound for improved NVH
Customers of the 6.7-liter Power Stroke turbocharged diesel engine will notice a quieter, more refined sound. Improvements to the combustion system, structural integrity of the compacted graphite iron block and the single turbocharger mounted to the engine block account for many of the NVH improvements.

Specific design upgrades were made to both the piston and the piston bowl to optimize the combustion process, which features a two-stage combustion event instead of a single-injection event, causing harsh, sudden and loud combustion. Instead, a starter or pilot injection of fuel begins the compression process before the main injection.

The result is smoother combustion and a more refined sound for the customer. When at idle, two pilot injection events are used to make the firing process even smoother and aid in quietness. The “ticking” of the high-speed injectors also is masked by specially designed covers on the engine.

Mounting the turbocharger from the center housing directly to the block provided several advantages as well in terms of NVH.

“When turbochargers vibrate, it can lead to other parts of the vehicle vibrating,” said Scott DeRaad, engine NVH engineer. “The exhaust system, for example, is directly attached to the turbocharger. So when the turbocharger vibrates a lot, the exhaust system vibrates too and that’s disturbing to the customer. Bolting the turbocharger directly to the block eliminates that concern.”

Using one turbocharger, instead of two operating in series or sequentially, helped solve some NVH challenges as well.

“Having one turbocharger eliminates the air-handling noises – the whooshes – as the engine switches from one turbo to the next turbo,” DeRaad said. “Our turbocharger also has ball bearings that pilot the shaft in the turbo, which helps eliminate the potential for the shaft of the turbocharger to gyrate in its housing, which can create noise.”

Other improvements include the addition of two resonators in the intake system as well as a third resonator near the air cleaner.

“We’ve been able to tune the diesel intake system to give us the sound we wanted,” DeRaad said. “It’s now a nice complement to the engine.”

Just as the new 6.7-liter Power Stroke V-8 turbocharged diesel engine is the perfect complement to the 2011 Ford Super Duty, delivering both capability and reliability.

“Developing the new 6.7-liter Power Stroke V-8 turbocharged diesel engine was an awesome endeavor,” Gryglak said. “After all the engineering and testing, we’re confident this engine will ensure the new Super Duty continues its leadership in capability, reliability and productivity.”

From http://www.truckblog.com/