JCB to develop its own green diesel engines

JCB has established a plant in Church Broughton, Derbyshire, to produce its own engines for JCB equipment. JCB has historically purchased Caterpillar engines, through UK-based Perkins, for installation in JCB construction equipment. JCB offered Caterpillar the opportunity to participate (and assist with funding) in the development of the new engines, but Caterpillar “did not react favourably” and declined. Perkins will still supply a small number of engines to JCB. JCB has been looking into the possibility of manufacturing its own engines for more than 20 years and recently worked with Ricardo Engineering in developing this new line of engines, already being produced for the past 12 months. JCB intends to make 50,000 engines a year and sell a fifth of them to outside customers. [Financial Times, 12/27/2005]