Foton Cummins Engine Joint Venture Founded in Beijing
Beijing Foton Cummins Engine Co., Ltd. (BFCEC), the first Sino-foreign joint venture of Beijing Foton Motor, officially launched its operations at the company’s headquarters in Changping, Beijing. This major engine manufacturing venture marks a significant milestone for both Foton and Cummins, as it will have an annual production capacity of 400,000 units, making it the largest engine manufacturer in China.
Established through a 50:50 investment between Beiqi Foton Motor and Cummins Inc., the joint venture has a total investment of over 2.7 billion yuan. The factory produces Cummins’ latest generation 2.8L and 3.8L inline four-cylinder high-pressure direct-injection diesel engines, known for their high performance, low emissions, and fuel efficiency. These engines are ideal for light trucks, SUVs, MPVs, construction equipment, and power systems.
With this new facility, Beijing now has an annual engine production capacity of 500,000 units, combining BFCEC with Foton Aoling Power’s existing 100,000-unit base. Foton Motor plans to expand further, aiming to build the world’s largest engine production base with an annual output of 1 million units in the future.
This collaboration is more than just a business move; it represents a strategic step in Foton’s internationalization efforts and aligns with China’s push for energy efficiency and environmental protection. It also supports the development of a resource-saving and eco-friendly society, reflecting Foton’s commitment to corporate social responsibility.
The partnership began in 2004 when Cummins supplied engines for Foton’s Euro V buses and heavy trucks. After years of planning and approvals, the joint venture was finally approved by the National Development and Reform Commission and the Ministry of Commerce in 2007. The plant, located in Changping, covers nearly 170,000 square meters and is expected to be completed by 2008, with mass production starting in 2009.
What makes this project unique is that the 2.8L and 3.8L engines being produced are the first of their kind globally, meeting Euro IV and higher emission standards. These engines represent the pinnacle of Cummins’ technology and highlight its confidence in the Chinese market and its partnership with Foton.
For Foton, this joint venture not only enhances its product quality and brand image but also opens doors to global markets. With Cummins’ extensive after-sales network and compliance with international emission standards, Foton can now compete more effectively in developed markets such as Europe, the U.S., Japan, and South Korea.
Experts believe this cooperation is a win-win, combining Foton’s market presence with Cummins’ technological expertise. It strengthens Foton’s position in the commercial vehicle industry and sets a strong foundation for future growth.
Cummins sees this as a key step in its long-term strategy in China. As one of the earliest foreign companies to enter the Chinese market, Cummins has built a strong presence through multiple joint ventures and subsidiaries. In 2007 alone, sales in China reached $1.7 billion, accounting for nearly 10% of the company’s global revenue.
As oil prices rise and environmental concerns grow, the demand for efficient and clean diesel engines is increasing. This joint venture is perfectly timed to meet these needs and support China’s “energy saving and emission reduction†initiatives.
In summary, the Foton-Cummins engine joint venture is not only a major advancement for both companies but also a model for how Chinese brands can achieve global competitiveness while maintaining their own identity. It represents a bold and forward-thinking approach to the future of the automotive industry.
Wuxi Feiyiya Environmental Protection Technology Co., Ltd. , https://www.feiyya.com