Brazil’s Senate has approved “Redata”, a tax incentive regime requiring data centers to meet their electricity demand with renewable or low-emission energy. The conditions for receiving the tax benefits include data centers meeting their electricity demands by using renewable or low-emission energy sources.

“Redata” suspends federal taxes on equipment and components acquired domestically or imported for use in data centers. The tax suspension will cover import duties and the Tax on Industrialized Products. It will apply for five years.

In return, companies claiming “Redata” must allocate at least 10% of their data processing, storage and handling capacity to the Brazilian market; comply with sustainability criteria; meet contracted electricity demand through supply agreements or self-generation using renewable or low-emission sources; comply with water-efficiency limits for cooling systems; and invest in Brazil an amount equivalent to 2% of the value of products acquired under the tax incentive

Source: PV Magazine: Read The Article

PSR Analysis: This legislation is significant in that Brazil’s data center market is expanding rapidly and this legislation commits data center owners to strict conditions that should mitigate some of the less desirable data center outcomes.  PSR

Canadian Groupe Bellemare has partnered with the Institut du véhicule innovant (IVI) on a three-year program called Plug-In Fleet Heavy Equipment. The purpose of this program is to test and document the equipment’s performance on a functioning job site.

The results are outstanding – Groupe Bellemare says it’s spent less than $54,000 for roughly 15,000 hours of operating costs. It’s added that the diesel machines it replaced would have burned an estimated $423,000 of diesel over the same period, giving the company more than an 87% drop in fuel costs.

Source: Electrek: Read The Article

PSR Analysis: Despite claims by some organizations (like the Wall Street Journal) that electric machines would struggle to compete, even if Diesel was $8 per gallon, it is very clear that there are some significant savings to be made by fleet electrification.  PSR

PFAS or Per- and polyfluoroalkyl substances are a group of synthetic organofluorine chemical compounds that have multiple fluorine atoms attached to an alkyl chain and are often referred to as forever chemicals. Being PFAS free is important because PFAS contamination threatens public health, wildlife and the quality of our natural environment.

Source: PV Magazine: Read The Article

PSR Analysis: Capital costs and production costs are expected to be much lower since this production process doesn’t use toxic solvents. A 10% or even 15% improvement in energy density of a battery is a big plus, leading to improved range or weight reduction. However, as usual with this new technology, it will be some time before it appears in your battery powered machine.  PSR

The company already had plans in place to reduce its workforce by 50,000. The new plan adds another 50,000 to that number, bringing the total to 100,000. The plan also calls for eliminating half of all the models currently offered and the plan leaves the fate of four factories in Germany (Emden, Zwickau, Hanover and Neckarsulm plants) undecided.

Source: Clean Technica: Read The Article

PSR Analysis: Most of the legacy auto makers are suffering in one way or another, and this move by VW is all about cost reduction via model simplification. Whether the plan survives (and actually, whether VW survives) will largely depend on how the powerful auto unions respond to this. PSR

The Power Systems Research Truck Production Index (PSR-TPI) decreased from 131 to 120, or 8.4%, for the three-month period ending Sept. 30, 2026, from Q2 2026. The year-over-year (Q3 2025 to Q3 2026) gain for the PSR-TPI was, 118 to 120, or 1.7%.

The PSR-TPI measures truck production globally and across six regions: North America, China, Europe, South America, Japan & Korea and Emerging Markets.

This data comes from OE Link, the proprietary database maintained by Power Systems Research.

All Regions. MHCV demand will vary by region in 2026. North America and European have seen orders increase through much of the first half of the year and vehicle demand is expected to improve somewhat over last year, China is expected to see a single digit decline in production much of the decline comes on the heels of very high levels of production in 2025.

Global Index. Overall, global MHCV production is expected to increase by 1% in 2026 over last year primarily driven by growth in North America and Western Europe. High global fuel prices are expected to continue through the remainder of the year even though shipping volume has improved through the Strait of Hormuz.

North America. Medium and heavy truck production in North America is expected to increase by 13.4% this year compared with low 2025 production. Class 8 truck production is expected to increase by 13.8% this year as order rates for class 8 trucks improved strongly throughout much of the year. Improvement in freight rates and freight demand along with tightening truck capacity and some level of truck pre-buy ahead of the 2027 GHG emission regulations is expected to drive increased truck production this year.

While truck sales have been down for much of this year, production levels are expected to be strong in the second half of the year. The primary risk to the 2026 production forecast is if the truck fleets cancel or postpone truck purchases this year. However, at the time of this writing few if any truck orders have been cancelled due to the high price of diesel fuel or increasing interest rates.

Europe. Medium and heavy truck production in Europe is expected to increase modestly this year compared to 2025. After exceptionally low truck demand during the past few years, truck demand has bottomed out and has started to improve with order rates increasing. Truck demand in Western Europe is expected to improve this year as the fleets will need to replace their older trucks purchased in 2022 and 2023. Tightening truck capacity will also drive demand throughout the rest of the year. So far, significantly higher fuel costs have not caused fleets to cancel truck orders scheduled for the fourth quarter of this year.

South Asia. After a strong level of vehicle replacement during the past few years, commercial vehicle production is expected to increase by 3.8% this year compared with 2025.  In India, truck and freight capacity has mostly rebalanced and MHCV production is expected to increase by 4% this year compared with 2025.  Demand is expected to grow in mid-term owing to a strong macroeconomic environment, healthy fleet utilization levels, Government capex on infrastructure projects, and stable freight demand. 

South America. Medium and heavy commercial vehicle production is expected to decline by 4% this year compared with 2025. Production in Argentina is expected to increase by 17.4% as the economy is improving and inflation is down significantly from a year ago. MHCV production in Brazil is expected to decline by 5.7% this year while vehicle production in Columbia is forecasted to increase by 10.8% in 2026.

Japan/Korea. Medium and heavy commercial vehicle production in Japan and South Korea is expected to increase by 5% in 2026 over last year. Commercial vehicle production is expected to increase by 6.5 % in Japan and decline by 6.5% South Korea this year. In Japan, infrastructure spending, and the continued need for the fleets to replace older trucks will be the primary reasons for increased truck demand this year. In South Korea, periodic diesel fuel shortages and exceedingly high fuel cost is partially responsible for the lower truck demand during the first half of the year. Fuel availability and reduced fuel prices are expected to improve as the year progresses.

Greater China. Medium and heavy commercial vehicle production in Greater China is expected to decline by 4.2% this year compared to 2025. Domestic truck sales are expected to be slightly lower in 2026 compared to last year. In 2025, thanks to the “China IV” phase-out and renewal subsidy policy, part of the replacement demand for 2026 was pulled forward; therefore, domestic sales in 2026 will face certain growth pressure and will experience a small decline of approximately 5%.

Vehicle Exports are expected to remain at a high level. Although the Russian market may shrink due to policy factors, incremental growth in Africa, the Middle East, Southeast Asia, and Latin America will offset this. Chinese HDTs still have an obvious cost-performance advantage in overseas markets, and exports will become the “ballast stone” supporting total sales.  PSR

Chris Fisher is Senior Commercial Vehicle Analyst

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink , which provides information on engines, and OE Link, a database of equipment manufacturers.

Market Share. With 61% of total units produced, Deere captured the lead for Combine production in North America (US).  In second position, Case with 23.5%; third, Claas Omaha with 9%.

Exports: Up to 30% worldwide.

Trends. The 2025 production of combines in North America decreased 19%, dropping from 4,300 in 2024 to 3,500 in 2025.  Production is expected to drop another 18% in 2026.  The 2026 decrease is mostly due to CLAAS moving production of their 8000 Series to Germany, rising production expenses along with a drop in commodity pricing and market uncertainty. 

In previous years, Covid-19 related factors played a role in the decline, especially for parts availability and a drop in orders for new machinery.  Sales of combines picked up in Q4 2020 after a tough spring for sales. 

Combines overall boost crop output and farm income.  “The increase reflects farmer sentiment about the future of their operations. It’s a decent early indicator of whether folks are enthusiastic about where markets are headed,” according to Curt Blades, senior VP of agriculture for AEM. 

This is a favorable sign. A few years ago, farmers were reluctant to buy or trade in pricey equipment because of lower commodity prices.  For instance, in 2017, production and purchases of new combines rebounded as portrayed in production figures. The gain can be attributed to an increase in commodity prices such as corn and soybeans that peaked in 2013/2014.

Case attributed the 2023 decline to supply chain issues.  Deere announced job cuts at three Midwest production facilities due to softening demand for tractors and combines. “These changes are being made due to reduced demand for the products produced at these facilities,” Deere & Co. noted in a news release. “Industry sales are expected to further decline in the back half of fiscal year 2024. To better position Deere to meet future demand, we continue to take proactive steps to reduce production and inventory.”

Expect production of combines to gain 5% by 2035.   PSR

Carol Turner is Senior Analyst, Global Operations

Researchers from Flinders University in Australia have published details of the latest steps in zinc-iodine technology. Prototype batteries can manage more than 60,000 recharge and discharge cycles, with recharges in just three minutes.

As the batteries are water-based, they don’t come with the same potential risk of explosion and fire as standard (NMC) lithium-ion batteries do. However, these batteries tend to deteriorate as they’re used because of the chemical reactions happening inside.

Source: MSN     Read The Article

PSR Analysis. The usual caveats apply with any new battery technology, in that you have to fully develop it and that it must be commercialized. However, one thing is clear, this battery technology is more suited to large scale uses.PSR

Subsidized buses would create hydrogen demand, demand would support refueling stations, stations would justify local hydrogen production. With enough production and infrastructure in place, a domestic low-carbon hydrogen industry could begin to emerge. In principle, it sounded logical and that it would work.

Polenergia, Poland’s largest private energy group started off solidly. By October 2024, they had building permits, and eight electrolyzer stacks had completed factory acceptance testing. In hydrogen- terms, that was at an advanced state.

Fast forward one year and Polenergia decided in January 2025 that it could not conclude the agreement. The company cited legal issues associated with the tender and the risk that it would not be able to deliver hydrogen on schedule. This was not simply a declaration that hydrogen cost too much, Polenergia’s subsequent corporate strategy called for a gradual withdrawal from hydrogen transportation.

Source: Clean Technica     Read The Article

PSR Analysis: There are a lot of views as to why this key project has failed, ranging from the creation of a hydrogen system that would always fail because it wasn’t running 24/7, to creating a demand through subsidy. Either way, it’s another failed hydrogen experiment, which seems to be the way of things for hydrogen at the moment.PSR

The comment period for proposed EPA emissions regulations starting with model year 2027 ended over the weekend of Sept. 6, 2026.

The regulatory amendments would include changes to the useful life periods and emission-related warranty periods. There are also amendments to the January 2023 provisions and from earlier rules. The agency also plans to make nonconformance penalties (NCPs) available to engine manufacturers beginning in 2027 and to amend inducement provisions.

“Americans depend on reliable trucks to move essential goods across the country,” EPA Administrator Lee Zeldin says. “If finalized, these changes will help manufacturers keep improving their vehicles without being forced to rush products to market before they’re ready. Combined with the Trump EPA’s first proposed deregulatory action to address ongoing DEF problems, this will ease real burdens for operators.

More than 100 comments were submitted. Below are a few of the comments.

Truck and Engine Manufacturers Association (EMA)

“The modifications to the emissions warranty and useful life provisions will make the 2023 Final Rule more implementable for manufacturers and more cost-effective for trucking fleets and other heavy-duty diesel vehicle and equipment operators. More specifically, the proposal to retain the current emission warranty periods will allow up-front reductions in product costs.

The proposed deferral of the longer useful life periods similarly will enable more effective and robust technology development and lower costs. And the proposed clarifications and corrections to many of the other compliance provisions will provide manufacturers with enhanced regulatory clarity.”

Prime Inc. (No. 15 on the CCJ Top 250)

“(W)e support extending the availability of EPA 2024 emissions-compliant products through 2027 and urge EPA to maintain this extended timeline.

“… Prime has experienced the consequences of premature technology adoption, including unplanned downtime, parts shortages, increased maintenance requirements and limited service capacity. Before widespread adoption within our fleet, we need sufficient EPA 2027 field experience to understand long-term durability, failure rates, maintenance costs, parts availability and service readiness.”

Hunter Truck

“I am concerned that imposing thousands of dollars in nonconformance penalties on otherwise proven, reliable engines is not a practical solution.

“These penalties do not disappear at the manufacturer level. Costs imposed on an engine manufacturer become costs to the truck manufacturer, dealer, fleet owner, independent trucker, freight customer and ultimately the American consumer. At a time when trucking companies are already dealing with high equipment costs, insurance expenses, interest rates, maintenance costs, labor pressures and uncertain freight markets, adding thousands of dollars to the cost of an engine creates another financial burden on the very industry responsible for moving nearly every product Americans purchase.

“If EPA believes that continued production of engines meeting the previous emissions standards is appropriate during the transition to the 2027 standards, it raises an important question: Why should the purchaser of that engine be financially penalized for buying a product that EPA is allowing to remain in commerce.

Volvo Group

“Since EPA finalized the 2023 Heavy-Duty Low-NOx Rule, the Volvo Group has made substantial investments in the development of a new engine family, advanced vehicle platforms and aftertreatment technologies to comply with the highly stringent NOx standards that take effect on Jan. 1, 2027. …

“The proposed Low-NOx Amendments would provide greater flexibility within the framework of the 2023 Final Rule, help reduce vehicle acquisition costs, and allow manufacturers to ramp up production in a controlled manner while supporting increased customer confidence as they transition their operations to the new technologies.

We agree with EPA’s decision to maintain the 35 mg/bhp-hr NOx standard in the rule. The Volvo Group remains committed to meeting customer demand by supplying compliant engines and vehicles supporting a stable and successful market transition.”

Source: Source: CCJ Comment period for EPA 2027 emissions policy changes ends

PSR Analysis. The truck pre-buy for 2026 is effectively over as the OEM build slots are generally full for the remainder of the year. Due to the transitional period, PSR expects demand to continue to be strong in 2027 as the fleets replace their older trucks with either emission compliant trucks or current trucks with nonconformance penalties. PSR anticipates there will be a modest drop-off in truck demand in 2028. However, due to the transition period a sharp year-over-year decline in sales is not expected.PSR

Chris Fisher is Senior Commercial Vehicle Analyst

The Large Energy User Action Plan (Leap) aims to see the location of new businesses with large demands better planned so that they are constructed near renewable energy sources. Under the Large Energy User Action Plan, any large energy users (10 MW-plus), such as data centers must provide at least 80% of their energy demand through new onsite renewable energy generation and storage.

Source: Breaking News     Read The Article

PSR Analysis. The 80% rule means that data centers sited near renewable energy sites can bypass potential grid connection delays (which can take several years) and connect directly to the renewable site. It also supports decarbonization efforts and relieves pressure on local grids. However, it does mean fewer backup gen-sets may be sold if the data center supports the renewable energy with batteries.PSR