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Volvo makes provision of $780 million relating to costs to address degrading emission control component issue

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Volvo trucks web

GÖTEBORG, Sweden — As previously communicated, the Volvo Group has detected that an emissions control component used in certain markets and models may degrade more quickly than expected, affecting the vehicles emission performance negatively.

The Volvo Group will in the fourth quarter 2018 make a provision of $780 million relating to the estimated costs to address the issue.

Volvo said in a news release that the estimated costs are based on several factors such as testing of vehicles, statistical analysis and dialogue with relevant authorities.

The next step will be to define how to implement corrective actions concerning the component in vehicles affected by this issue, which will be done together with the relevant authorities.

Volvo said the degradation of the component in question does not pose a product safety issue, nor does it negatively affect vehicle or engine performance in areas other than emissions control. The degradation is a result of a materials issue that occurs over time.

All engines and vehicles equipped with the component meet emissions limits at delivery.

The provision will impact operating income in the fourth quarter of 2018, while the negative cash flow effect will start in 2019 and gradually ramp up in the coming years.

The Volvo Group said it would continuously assess the size of the provision as the matter develops.

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Kenworth to collaborate with Meritor on T680E Electric powertrain development

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concept photo of Kenworth electric model
The electric Kenworth T680E will be a short-hood day cab in tractor configurations of 4x2 and 6x4 axles and as a 6x4 axle straight truck. The T680E will offer an operating range between 100 to 150 miles, depending on application. (Courtesy: Kenworth)

KIRKLAND, Wash. — Kenworth has announced it will collaborate with Meritor on electric powertrain development for Class 8 Kenworth T680E battery-electric vehicles.

The electric Kenworth T680E will be a short-hood day cab in tractor configurations of 4×2 and 6×4 axles and as a 6×4 axle straight truck. The T680E will offer an operating range between 100 to 150 miles, depending on application.

“The Kenworth T680E development in collaboration with Meritor is a major advanced technology step in Kenworth’s evolution of zero-emission electric powertrain solutions for our customers,” said Kevin Baney, Kenworth general manager and PACCAR vice president. “Initial production of the Kenworth T680E is expected to begin in the fourth quarter 2020 and ramp through 2021.”

Meritor, Inc. is a global supplier of drivetrain, mobility, braking and aftermarket solutions for commercial vehicle and industrial markets. Meritor is based in Troy, Michigan.

“We look forward to working closely with Kenworth to help develop the Kenworth T680E as an important, viable battery-electric answer for the day cab market,” said T.J. Reed, vice president of Global Electrification for Meritor.

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New Kenworth parts, service locations now open in Maryland and Nebraska

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Kenworth service location in Maryland
West Point Kenworth is approximately one hour south of Sioux City, Iowa, and located along Highway 275, a major trucking route in the area. (Courtesy: Kenworth)

WESTMINSTER, Md. And West Point, Neb. — Kenworth now offers additional locations for parts and services. Mid Atlantic Kenworth has added a full-service location in Westminster, Maryland, while Sioux Falls Kenworth has opened a new parts and services dealership in West Point, Nebraska.

Maryland

In Westminster, Maryland, the 17,400-square-foot facility features a full parts and service department, with 10 service bays to maximize customer uptime for truck operators passing through the area. A drivers’ lounge is available to customers while their trucks are serviced.

The facility, Kenworth Mid Atlantic Westminster is located on three acres, which offers customers ample room to park their trucks.

The Westminster, Maryland facility is located at 821 Baltimore Blvd. and its hours of operation are 7 a.m. to 5 p.m. Monday through Friday and 7 a.m. to 1 p.m. on Saturday.

Nebraska

With its new parts and service dealership in West Point, Nebraska, Sioux Falls Kenworth can now offer expanded support to fleets and operators in the greater Sioux City, Iowa area.

West Point Kenworth is approximately one hour south of Sioux City and located along Highway 275. The 12,800-square-foot building is situated on 3.5 acres. The facility features an 8,600-square-foot service department with eight service bays. Also included is a 1,200-square-foot parts retail display area and a 1,900-square-foot space for bulk storage.

The West Point facility is located at 1805 Sycamore St. in West Point. Hours of operation are from 8 a.m. to 5 p.m. Monday through Friday and 8 a.m. to 12 p.m. on Saturday.

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Agility partners with XStream Trucking to distribute aerodynamic TruckWings

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a patented design allows truckwings to swing out and retract
The patented TruckWings design incorporates folding panels made of impact-resistant, glass-reinforced composites attached to the rear sides and roof of the cab that automatically swing out to close the cab-to-trailer gap at highway speeds and retract at lower speeds. (Courtesy: Agility Fuel Solutions)

COSTA MESA, Cali. — Agility Fuel Solutions and XStream Trucking have announced that Agility will be the exclusive distributor of Xstream’s TruckWings aerodynamic systems for compressed natural gas (CNG) trucks in North America. Agility will also distribute TruckWings on a non-exclusive basis to the diesel truck market.

The patented TruckWings design incorporates folding panels made of impact-resistant, glass-reinforced composites attached to the rear sides and roof of the cab that automatically swing out to close the cab-to-trailer gap at highway speeds and retract against the rear of the cab at lower speeds to leave room for turning maneuvers.

“TruckWings is the first device which completely solves the turbulence problem created by the open area between the tractor and trailer that contributes significantly to a truck’s overall aerodynamic drag,” said Daniel Burrows, XStream Trucking’s founder and CEO. “We are pleased to now partner with Agility to offer TruckWings as a factory option for CNG trucks in North America.”

Agility, a business area of Hexagon Composites ASA, and XStream Trucking have previously partnered to provide TruckWings systems for over 750 CNG trucks used by major fleet operators. Agility’s leadership in providing clean fuel solutions for commercial vehicles coupled with its extensive customer base and value-added aftermarket services will expand XStream’s TruckWings solution to reach the growing CNG truck market throughout North America.

“Agility’s trucking fleet customers are focused on fuel cost savings and on increasing the fuel economy of their CNG trucks. TruckWings are a great answer to this problem, as we’ve demonstrated in real-world use with some of our major fleet customers,” said Eric Bippus, Agility’s senior vice president of global sales and marketing. “We are very pleased to enter into this distribution agreement and to continue to work with XStream Trucking to deliver clean and efficient transportation solutions for the North American trucking market.”

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