Isuzu Seeks to Develop Next-Gen Diesel Engines for GM as Tough Green Rules Near
By Scott Doggett December 22, 2009
Isuzu Motors Ltd. has proposed designing and developing next-generation diesel engines for General Motors, as tougher regulations on fuel efficiency and emissions will likely be put in place in the U.S. and Europe, according to media reports today in Japan.
The two automakers have been jointly manufacturing diesel engines in the U.S. and Poland, even with GM having severed their capital ties by selling its roughly 8 percent stake in 2006. They also supply each other with vehicles.
The proposed deal suggests that the Japanese carmaker is poised to maintain cooperative relations with GM in an attempt to boost its competitiveness.
The companies are also in talks about a deal in which Isuzu would take the lead in developing next-generation pickup trucks for sale in Southeast Asia and South America.
Isuzu is close to completing development on engines that will meet stricter emissions standards to be introduced next year in Japan.
There was no mention of where the engines might be made, but the PowerTrain Division of Isuzu Motors America is located in Plymouth, Michigan. There, Isuzu builds more than 30 diesel engine models with power ranges beyond 300 horsepower for use in on- and off-road applications.
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