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Volvo plans to test trucks fueled by vegetable origin LNG, gas in liquid form. According to the president of Volvo Trucks in Latin America, Wilson Lirmann, gas from renewable waste makes more sense in the transport operation because it contributes to nullifying the emission of CO2 in the fleet of commercial vehicles.
In this sense, the brand should soon bring LNG-powered trucks to the region. Brazil is a focus market, but possibly these trucks will debut in other South America countries. That’s because the infrastructure is still under development in Brazil. Although Lirmann does not say which countries in the region will receive the brand’s first gas trucks, it is known that Argentina and Chile already have more developed technology and infrastructure.
As part of the strategy of accelerating the use of technologies that use renewable sources, Vale received at the end of March its second 100% electric locomotive, powered by battery. Manufactured in China by CRRC Zhuzhou Locomotive (CRRC ZELC), the equipment will initially operate in the maneuvering yard of the Ponta da Madeira Terminal in São Luís (MA). Its batteries, made of lithium, have a storage capacity of 1000 kWh, with autonomy to operate up to 10 hours without stops for recharging.
CRRC’s locomotive is part of Vale’s strategy to electrify its mine and rail equipment. The two areas account for 25% of the company’s direct carbon emissions, the so-called scope 1. In 2019, Vale announced the goal of zeroing its net emissions of scopes 1 and 2 (relative to electricity consumption) by 2050. To this end, it is investing between US$ 4 billion and US$ 6 billion.
During its first meeting March 17, 2023, the new leadership of the National Council for Energy Policy (CNPE) approved an increase to 12% of the mandatory blend of biodiesel to diesel sold in Brazil, after April this year.
The proposal approved by the CNPE sets the addition of biodiesel in the composition of diesel to grow in April this year from the current level of 10% (B10 mixture) to 12% (B12 mixture). The content will be raised to 13% (B13 mixture) in April 2024, to 14% (B14 mixture) in April 2025 and to 15% (B15 mixture) in April 2026.
In line with ANFAVEA forecast of 20% reduction in production for 2023, Scania and Mercedes announced the reduction of one shift of production in MHV production lines. Scania reallocated 200 employees at the remaining shift and laid off part of its temporary workers in the workforce. Scania does not have a forecast to reopen the second shift.
At the same time, Mercedes announced three months forecast to reopen the shift. While Scania only mentioned market demand as a reason for its reduction, Mercedes mention Market, lack of components and the country’s interest rates.
Fras-le announced plans to acquire the operations of AML Juratek, the parent company of Juratek and BettaParts, which operate in the UK and European aftermarket, with lines of braking products such as discs, brake pads, calipers and actuators. Fras-le said it intends to invest about US$ 22 million (£ 18.2 million) in the acquisition.
Fras-le will continue to work in the European market with the Juratek and BettaParts brands and will receive the reinforcement of the other iconic brands of the company in the global market, such as Fras-le and Fremax, expanding business possibilities. In 2022, AML Juratek recorded revenues of approximately £25 million.
The acquisition is added to Fras-le’s global structure of operations, currently present with industrial units in Brazil, the United States, China, Argentina, Uruguay and India, as well as distribution, technology and development centers and commercial representations to serve customers in more than 120 countries on five continents.
Brazilian WEG has announced plans for a new 6,000 m2 plant in Jaraguá do Sul, Santa Catarina, Brazil, to produce battery packs for EVs. With the investment, the annual capacity will be 1 GWh in battery packs. WEG plans a highly automated plant, with 140 direct employees; WEG’s timeline calls for completion of the plant in 1H 2024.
PSR Analysis: WEG aims to supply EV production for OEMs located in Brazil. With strong background in drives and industrial electrical components, WEG could be a natural selection for many OEMs in Brazil. PSR
Fabio Ferraresi is Director of Business Development-South Americafor Power Systems Research
The new HB20 auto landed in Colombia with new body but is powered by an old engine. Hyundai Motor Brazil started exporting the new face lifted compact with an engine that the hatchback no longer fits versions running in Brazil.
The Colombian version is exported with the 1.6 16V aspirated Gamma engine.
Hitech Electric to produce 100% electric LCVs by March, with sales plans of 1,000 vehicles per year. In partnership with Positivo Tecnologia, (and its corporate venture capital (CVC) program) the assembly line will start with 50 units per month and possibly expand to 100 in the short term. The plant will be located in Campo Largo, Parana.
The vehicles will have a powertrain and battery produced by WEG, the Brazilian Electric equipment manufacturer. The batteries will feature non-flammable lithium iron phosphate. Product lineup includes a last mile utility vehicle and a 1.2-ton light truck.
The law requiring the use of cabin tractors for spraying includes changes in applications and timing. Under the new wording, cultivation methods in which the use of the original or adapted closed cabin is unfeasible depending on the spacing between lines, a sprayer trailer pulled in a machine without closed cabin may be used, provided that it meets certain conditions.
New deadlines vary from 120 months for small properties and 60 months for large properties.
PSR Analysis: Given the long deadlines, the market total volumes should not be impacted, but product lines should have volume changes within the application the product and model level. These should be reflected in next publish of PSR’s OE Link™ Forecast. PSR
Fabio Ferraresi is Director, Business Development-South America, for Power Systems Research
Truck production in Brazil in January was 4,049 units vs. 14,614 units in December per Anfavea (the association that represents the automakers installed in the Brazil) monthly
PSR Analysis: This decline was expected due to the introduction of PROCONVE P8, the regulation in line with Euro VI, that reduces the toxic gas emission limits and therefore increases the complexity and the price of new trucks.
Under that regulation, OEMs have the right to sell Trucks at PROCONVE P7 (Euro V) produced in 2022 until March 31, 2023. This caused a pre-production and inventory increase to sell trucks with lower price at the beginning of 2023.
The Anfavea forecast points to a reduction in MHV production from 192,000 to 154,000, but their calculation on Sales, Exports and Stock does not match. Subscribers of Power Systems Research data and intelligence can see a well-balanced forecast, considering different stock level by subsegment of GVW. PSR
Fabio Ferraresi is Director, Business Development-South America, for Power Systems Research
