Welcome to the New Gilded Age of Gen-Sets

This forecast appeared in the September 2019 issue of Diesel Progress magazine.

SUMMARY. The underlying weak conditions in the global economic picture could put pressure on the North American power generation industry for the remainder of 2019 and through most of 2020. We forecast little or no growth for the industry through 2020.

Even though the power generation production market was up slightly (0.9% in 2018-2019), we see it declining about 1% over the next year. 

Tyler Wiegert
Tyler Wiegert

For those of you a few years removed from your high school U.S. History courses, the original Gilded Age was a period covering the 1870s-1890s that was marked by astonishing economic growth. Driven by the expansion of industrialization in the North and West, facilitated by growing railroad networks, real wages grew an enviable 60%.

But Mark Twain dubbed this period the “Gilded Age” rather than the “Golden Age,” because it was also marked by extreme poverty, and he represented it with gilded, decaying apple. The shiny outward appearance of growth was masking a rotten core of massive inequality.

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MAN Plans to Launch New Generation Engine

Natasa Mulahalilovic
Natasa Mulahalilovic

Four years after introducing the most powerful engine for yachts, the V12-2000, MAN Truck and Bus has launched a new generation, high speed engine, the V12X. The official launch will take place at the Cannes Yacht Festival in France at the French Riviera Old Port, Sept. 6-11.

The latest MAN creation develops 2200 HP (1618 kw) at 2300 rpm.  The 12-cylinder engine, with 30 liters displacement is unique in the marine pleasure market.

As all other MAN compact, high speed, diesel engines, the V12X fully meets the EPA Tier 3 recreational, China Marine Recreational Stage II, IMO Tier II and RCD 2013/53/UE, 97/68/EC emission standards and directives.  

The new engine is designed for installation into medium and larger size motor yachts, sport fishing boats and cruisers. MAN Truck and Bus has a strong and lengthy collaboration with many yacht builders such as Azimut-Benetti group, Beneteau Yachts, Ferretti Group, Princess Yachts and others.

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New Cars in Russia Cost More Than in USA and Europe

The prices for cars in Russia now exceed the prices abroad. The high prices are caused by high custom taxes, certification for Glonass satellite systems and exchange rates of national currency. After many global OEMs built assembly plants in Russia, prices for cars were equal to cars in other markets, and after fall of the Ruble exchange rate in 2014, cars became even cheaper. However, in 2021 prices have grown significantly because of a shortage of semiconductors.

For example, the minimum price of a Hyundai Sonata in the USA is US$ 24,150, equivalent to about 1,725,000 rubles. In Russia, a similar car is priced at 1,799,000 rubles. A Kia Seltos in the USA costs US$ 22,490 (about 1,605,000 Rubles); in Russia, the minimum price is 1,734,000 rubles. Cars such as the Toyota Camry, Toyota Corolla and RAV4 are also more expensive in Russia by about US$ 3,000-5000.

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PSR Analysis: Actual prices are even higher in Russia because of dealer mark-ups. Sometimes, to buy a car, it’s necessary to pay 1.5-2 times the prices as a cost for “options”. As a result, there has been a 20% fall of sales in the country.   PSR

Maxim Sakov is Market Consultant – Russia Operations for Power Systems Research

China To Push Adoption of New Energy CVs

CHINA REPORT
Jack Hao
Jack Hao

Pilot cities must embrace EVs in official vehicles, public transport, taxis, sanitation, postal express, urban logistics, airport vehicles, aiming to achieve 80% NEV proportion by 2025. A balanced and efficient charging infrastructure must be established, with public charging piles proportional to NEV promotion, and 10% charging facilities in expressway service areas.

Innovation in tech, green energy supply, and new information/communication networks must be applied to efficiently integrate NEVs with power grids and other fields. Innovations such as intelligent charging, high-power charging, rapid power change have been expanded, and vehicle-network integration verified.

Source: The QQ     Read The Article

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FAW Jiefang, CATL Launch New Energy Venture

CHINA REPORT
Jack Hao
Jack Hao

FAW Jiefang and CATL have set up a joint venture company, Jiefang (Jilin) New Energy Technology Co., Ltd., to do business in the new energy segment. The company is wholly-owned by Jiefang shidai New Energy Technology Co., Ltd., which is a joint venture between FAW  and CATL with each party holding 50% of the JV’s shares.

The JV was established to sell new energy vehicles, batteries, battery parts, and electric vehicle charging equipment charging stations; Information system integration services; and Intelligent control system integration. It also will manufacture power transmission and distribution and control equipment.

In August 2022, CATL reached a strategic cooperation agreement with FAW Jiefang, proposing to invest 500 million yuan to establish a subsidiary for cooperation.  CATL’s battery business mainly focuses on the passenger car market, and the cooperation between the two sides marks the beginning of CATL’s in-depth launch into the new energy commercial vehicle market.

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EV Postal Delivery Motorcycle Is Honda’s New Opportunity

This article initially appeared in the February 2020 issue of PowerTALK News.

JAPAN–Honda plans to introduce 200 electric motorcycles for postal delivery services by March 2020, and around 2,000 units are expected be introduced in FY2020. Approximately 85,000 postal delivery motorcycles are running in Japan today, and all are made by Honda. There are also three-wheel models, but most are Super Cubs, which has a reputation for reliability. At first, these EV bikes will be deployed in Tokyo, where the driving range is small, and in other local ordinance-designated cities.

Akihiro Komuro
Akihito Komuro

The base unit is the electric motorcycle for business use, the Benly e-series. Honda will start selling it to corporations in April 2020. This is a 96V system in which two lithium-ion batteries with a voltage of 48V are connected in series. Charging is performed by removing the battery from the vehicle and using a special charger; it takes about four hours to reach full charge from zero.

Honda says the bike has a maximum output of 3.8PS and achieves a 12-degree slope uphill performance with maximum load capacity. The cruising range is 87km for Benly e: I and 43km for Benly e: II. According to Honda officials, the bike can be operated for one day considering the delivery range, but in most cases it will return to the post office during lunch break, and a battery can be replaced at that time.

Source: Response

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A new Era in EU Industrial Strategy

This article appeared in the March issue of PowerTALK News.

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The European Commission has released a document showing how they are going to support the European Industry in the challenging transformation required in the coming years. 

Emiliano Marzoli
Emiliano Marzoli

The strategy is made up of three pillars designed to give European companies the opportunity to grow and strengthen their position in the global market. The pillars focus on global competitiveness, “green” development, and development of digital infrastructures.

The green and digital transformations are critical to develop new skills and capabilities to retain Europe as an innovation leader.

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Thoughts on Battery Change for New Energy Vehicle, using Big Data

Qin Fen
Qin Fen

The symposium of battery change mode for new energy vehicle was held June 15 in Xuzhou, Jiangsu.  Data from National Big Data Alliance of New Energy Vehicles suggests that over 3 million new energy vehicles were in the system in 2019 and 900,000 vehicles are running daily.  Data also suggest that new energy vehicle GVW range primarily falls under 4.5 tons.

Source: Sohu  Read The Article

PSR Analysis: Many numbers are in the article, some contradictory.  As one of the truck OEMs, XCMG does make some excellent points on the daily use of the battery-powered vehicle, using data collected from end-users, such as working hours, range anxiety and surprisingly, maintenance and downtime.

But I want to point out one potential issue that might travel under the radar: operating cost, more specifically, fuel cost.  For large fleet owners like JD.com Inc. or SF Express, fuel cost might be a key factor in choosing a battery-powered vehicle over ICE-powered vehicle for urban delivery.

There are energy companies already working with large industrial businesses to install wind or solar power onsite to address their electricity bill issue.  Once completed, giant companies like JD or SF Express will significantly cut down their operating expenses on fuel, in this case, electricity.

There is one game changer out there now.  How will ICE-powered light duty trucks compete with battery-powered vehicles, when the latter runs free of charge and free of emission?  What will happen to all the components suppliers for light duty trucks, especially urban delivery trucks?  PSR

Qin Fen Is Business Development Manager in China for Power Systems Research.

Case New Holland(CNH) To Halt Sales of Construction Machinery

CHINA REPORT
Jack Hao
Jack Hao

CNH Industrial Group says it is stopping the sales of construction machinery and equipment in the Chinese market after Dec. 31, 2022. This is another significant development by foreign brands in the Chinese market.

John Deere withdrew from the Chinese market after the original industrial structure was changed by the merger of the Chinese plant of Kobelco Construction Machinery Co., Ltd. At the same time, Hitachi Construction Machinery also made changes to Hitachi Construction Machinery (Shanghai) Co., Ltd., which is responsible for sales and services in China, and set up a new sales and service company, “Hitachi Construction Machinery Sales (China) Co., Ltd.”, which began operating Nov. 1, 2022.

On Dec. 29, 2020, the Ministry of Ecology and Environment announced that from Dec. 1, 2022, all off-road mobile machines below 560kw (including 560kw) produced, imported and sold and their diesel engines installed shall meet the requirements of the Chinese IV emission standard. The implementation time of Chinese IV emission of off-road mobile machinery above 560kw and its installed diesel engines has not been announced.

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TAIWAN REPORT: No New Coronavirus Cases

April 17, 2020–Taiwan reported no new coronavirus cases on April 14, 2020, marking the first-time authorities there have reported zero new cases in more than a month. It’s also the latest achievement for a health system that first acted to prevent the spread of COVID-19 in December.

Erik Martin
Erik Martin

With a population of around 23 million, Taiwan has only 393 confirmed COVID-19 cases; six people have died from the disease. The last time Taiwan’s Central Epidemic Command Center announced no new cases was on March 9 – 36 days ago.

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