JCB concludes £4.5m engine supply deal to Coventry firm Terex GB
STAFFORDSHIRE-based JCB, best known for its iconic excavators, has won one of the biggest engine supply deals in its history after securing an annual contract worth £4.5m.
The milestone agreement will see the company supply Terex GB with engines to power site dumpers made at the firm’s Coventry plant. The deal comes as JCB celebrates its tenth anniversary as an engine manufacturer.
The engines – made by JCB Power Systems in Derbyshire – will be the latest fuel efficient Ecomax 55kW/74HP stage3B/Tier 4 Final models. Initially Terex will use them to power two site dumpers in its range: the TA6 and TA6S.
Graeme Macdonald, CEO, JCB said: “The engine supply contract is a major milestone for the JCB Power Systems business. It is one of the biggest engine supply deals in the company’s history and is testament to reliability and efficiency advantages that the JCB Ecomax engine offers customers.”
JCB began producing engines at its plant in Foston at the end of 2004, with the process extended to India in 2011. To date JCB has produced 350,000 engines globally.
JCB engines now power more than 70% of the firm’s machines and JCB Power Systems is enjoying growing success in selling engines to other industries worldwide.
JCB is still best known for its construction machines and the Rocester-based company now has 22 plants on four continents: 12 in the UK, six in India and others in Brazil, the USA, China and Germany. It employs more than 12,000 people worldwide.
Since 2004 JCB has grown from a new entrant to the engine manufacturing sector into a major global producer. Around £80m – one of the biggest investments in the company’s history – was pumped into the development of the JCB Ecomax T4 engine in readiness for tough new emissions legislation.
JCB has also gone into production with a six-cylinder, 7.2 litre engine, the JCB Dieselmax 672. This followed a £45m investment, which created 50 new jobs.
In December 2011, JCB announced its intention to invest £31m over a three-year period to develop new engine technology to support its product range from 2015 onwards.
