Cummins

Last updated

Cummins Inc.
FormerlyCummins Engine Company (1919–2001)
Company type Public
Industry Heavy equipment, automotive
Founded1919;105 years ago (1919)
Founders
Headquarters Cummins Corporate Office Building, Columbus, Indiana, U.S.
Key people
  • Jennifer Rumsey
  • (President & CEO)
  • N. Thomas Linebarger
  • (Executive Chairman)
  • Mark Smith
  • (Vice President & CFO)
Products Engines, filtration products, generators, fuel cell systems, turbochargers, electric vehicle powertrains
RevenueIncrease2.svg US$34.07 billion (2023)
Decrease2.svg US$1.76 billion (2023)
Decrease2.svg US$735 million (2023)
Total assets Increase2.svg US$32.01 billion (2023)
Total equity Decrease2.svg US$8.85 billion (2023)
Number of employees
c. 75,500 (2023)
Subsidiaries
Website cummins.com
Footnotes /references
[1]

Cummins Inc. is an American multinational corporation that designs, manufactures, and distributes engines, filtration and power generation products. [2] Cummins also services engines and related equipment, including fuel systems, controls, air handling, filtration, emission control, electrical power generation systems, and trucks.

Contents

Headquartered in Columbus, Indiana, Cummins sells in approximately 190 countries and territories through a network of more than 600 company-owned and independent distributors and approximately 7,200 dealers. Cummins reported a net income of $2.15 billion on sales of $28 billion in 2022.

History

An early Cummins diesel in a 1950 Indianapolis 500 roadster Cummins Diesel Roadster.jpg
An early Cummins diesel in a 1950 Indianapolis 500 roadster
Columbus main plant (1973) CUMMINS ENGINE COMPANY MAIN PLANT, DESIGNED BY HARRY WEESE - NARA - 546542.jpg
Columbus main plant (1973)

The Cummins Engine Company was founded in Columbus, Indiana on February 3, 1919 by mechanic Clessie Cummins and banker William Glanton Irwin. [3] The company focused on developing the diesel engine, which was invented 20 years earlier. Despite several well-publicized endurance trials, it was not until 1933 that their Model H engine, used in small railroad switchers, proved successful. [4] [5] [6] [ self-published source ] The Cummins N Series engines became the industry leader in the post-World War II road-building boom in the United States, with more than half of the heavy-duty truck market using Cummins engines from 1952 to 1959. [7] In the 1960s, the company opened an assembly plant in Shotts, Scotland (closed in 1996). By 2013, Cummins had operations in 197 countries and territories. [6]

Cummins first headquarters Cummins headquarters.jpg
Cummins first headquarters

Business units

Cummins Engine Business

Cummins Engine Business Unit consists of aftermarket support, mid-range, heavy-duty, and high-power engines. Its markets include heavy and medium-duty trucks, buses, recreational vehicles (RV), light-duty automotive, and several industrial uses, including construction, mining, marine, oil, gas, railroad and military equipment. [1]

One of the most popular engines built is the 5.9-liter I6 engine used in the Dodge Ram heavy-duty pickups starting in 1988. [8] In 2007, a 6.7-liter version of the Cummins straight-six engine became optional on the RAM pickup. [8] In 2008, Cummins was a named defendant in a class-action suit related to 1998-2001 model year Dodge Ram trucks, model 2500 or 3500, originally equipped with a Cummins ISB 5.9 liter diesel engine built using a pattern 53 Block. [9] The case has been settled, but some qualified Chrysler owners may receive $500 for repairs to the block, which was alleged to crack and create a coolant leak.

In April 2013, Cummins utilized technology developed by Westport Innovations to ship large natural gas-fueled engines to truck manufacturers in the United States as trucking companies began converting portions of their fleets to natural gas and the natural gas distribution network in the United States began to expand. [10]

Cummins has a technical center in Darlington, England, for developing products for the European, Middle Eastern, and Asian markets.

Cummins Power Systems Business (formerly Cummins Power Generation)

A Cummins Power Solutions unit at the Shenandoah National Park office outside of Luray, Virginia. Shenandoah National Park HQ Generator.png
A Cummins Power Solutions unit at the Shenandoah National Park office outside of Luray, Virginia.

Cummins Power Systems Business Unit consists of alternators, automatic transfer switches, commercial power systems, consumer systems, engines, and paralleling systems.

All of the above stem from the Cummins Onan Corporation, whose products remain in service today.

This Business Unit was formed recently, following a merge of the Power Generation Unit and High Horsepower Sub-Division.

A Cummins generator at the base of a radio mast Cummins generator.jpg
A Cummins generator at the base of a radio mast

On August 22, 2017, United Rentals announced it had acquired all mobile power generation assets from Cummins. To maintain fleet and customer service continuity, some Cummins employees joined United Rentals. [11]

Cummins Component Business

Cummins Component Business Unit consists of emission solutions, filtration (Fleetguard), fuel systems, turbo technologies (Holset), and electronics. The Cummins Turbo Technologies unit designs and manufactures turbochargers and related products on a global scale, for diesel engines above 3 liters. Its Emission Solutions unit develops and supplies catalytic exhaust systems and associated products to the medium and heavy-duty commercial diesel engine markets. Cummins Filtration designs, manufactures and distributes heavy-duty and light-duty air, fuel, hydraulic and lube filtration, chemicals and exhaust system technology products for diesel and gas-powered equipment. In contrast Cummins Electronics designs engine control units and sensors for Cummins diesel engines.

Cummins Distribution Business

Cummins Distribution Business consists of engine and power generation distribution as well as service and parts. The distribution unit of Cummins consists of 17 Cummins owned distributors and 10 joint ventures, covering 90 countries and territories through 234 locations.

Subsidiaries

Holset turbocharger (x2), on 450 hp (340 kW) V12 Kromhout diesel engine Holsetturbo2.jpg
Holset turbocharger (x2), on 450 hp (340 kW) V12 Kromhout diesel engine

Cummins Turbo Technologies

The Holset Engineering Co. was a British company that produced turbochargers, primarily for diesel and heavy-duty applications.

In 1973 the company was purchased by Cummins after briefly being owned by the Hanson Trust. Holset now operates facilities in China, India, Brazil, the Netherlands, the United Kingdom, and the United States.

In 2006, the division officially changed its name to Cummins Turbo Technologies to be identified more closely with its parent company. The turbocharger products still use the Holset brand name.

Cummins Power Systems

In 1986, Cummins began the acquisition of Onan and completed it in 1992. Since then, Onan has evolved into Cummins Power Generation (now Cummins Power Systems), a wholly-invested division of Cummins. The Onan name continues to be used for modern versions of their traditional engine-driven generators for RV, marine, commercial mobility, home standby, and portable use.

Cummins Inc. (NYSE: CMI) announced that it will be unifying its brand strategy across its Power Systems business segment, which provides high-speed engines from 760 – 4400 HP and power generation equipment from 2–3,500 kW, including standby and prime power gen sets, alternators, switchgear and other components. Currently, the portfolio features the Cummins, Cummins Power Generation and Cummins Onan brands. With immediate effect, the branding will be consolidated under the Cummins brand. The Cummins Power Generation and Cummins Onan brands will be retired and the Onan name synonymous with mobile gensets, will be repositioned as a generator product line under the newly unified Cummins brand in the RV market.

Cummins Inc. will also be permanently changing all “Fun Roads” branding to Cummins RV moving forward as well and the Fun Roads brand will also be retired. As Onan will now be repositioned as an RV product line, with the new rv.cummins.com website and social media platforms serving as tools for RVers across the country to find relevant information like product specs and a sales and service locator.

“Looking to unify Cummins into one cohesive, unified brand, we decided that consolidating both products (engines and generators) into the Cummins RV family only strengthens the brand and more uniformly speaks to our manufacturers and consumers,” said Jodie Wilson. “The brand changing will not affect product or service offerings, but will help us to continue on our promise of delivering dependability across the globe.”

Rebranding occurred globally on all marketing activities, as product branding changed across all manufacturing plants beginning July 2017. [12]

President Joe Biden visited the Cummins plant in Fridley, Minnesota on April 3, 2022. [13] It was part of his "Investing in America" tour. Cummins had announced a US$1 billion initiative to produce clean energy technology, including electrolyzers for hydrogen cells in Fridley. [14] [15]

Cummins Emission Solutions

Exhaust and emissions after-treatment company Nelson Industries was purchased in 1999, due to the increasing importance of exhaust after-treatment systems for meeting future emissions standards. The division changed its name to Cummins Emission Solutions to be identified more closely with their parent company.

China operations

Cummins has some joint ventures with Chinese manufacturers, such as Dongfeng Cummins, a joint venture with Dongfeng Automobile Company, [16] as well as Guangxi Cummins Industrial Power with LiuGong. One of the most successful joint ventures is the joint venture with Foton called Beijing Foton Cummins Engine Company.[ citation needed ] This joint venture developed the ISG/X12 engine platform in the mid 2010s. The ISG/X12 in China has surpassed 240,000 units per year making it the highest volume heavy duty engine in the Cummins product line. The ISG/X12 is the foundation for all Cummins future engine platforms.

Other entities were Cummins Beijing, Chongqing Cummins Engine, Xi’an Cummins Engine, Wuxi Newage Alternators, Xiangfan Fleetguard, Wuxi Cummins Turbo Technologies. [16]

India operations

Cummins India is the Indian subsidiary of Cummins. Cummins India is publicly traded on the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE). [17] Cummins began its India operations on 17 February 1962 in a joint venture with the Kirloskar Group. The ownership structure of the joint venture was divided as follows:

In 1996 Cummins Inc. bought Kirloskar shares. Now it is a Cummins Inc. subsidiary. As of 2013, the Cummins group had revenues over $1.5 billion, 20 factories and 9000 employees in India.

Cummins conducts a significant part of its R&D in India at the Cummins Research and Technology centre that was established in 2003. Cummins has built a technical centre in Pune which houses over 2500 engineers, called CTCI (Cummins Technical Centre India). [18]

Cummins India has made significant contributions to local skill development by establishing the MKSSS's Cummins College of Engineering for Women, a women-only engineering college in Pune. [19]

Applications

Cummins engines Cummins IAA 2016 (1) Travelarz.JPG
Cummins engines

Concept vehicles

Clean Air Act violations

In 1998, the EPA announced fines totaling $83.4 million against Cummins and six other diesel engine manufacturers, the largest fine to date. The fines came after manufacturers evaded testing by deliberately deactivating emissions controls during highway driving to give the appearance of being in full regulatory compliance during standard laboratory testing. [22] The manufacturers also agreed to spend more than $1 billion to correct the problem. [23] The trucks used engine ECU software to engage pollution controls during the 20-minute lab tests to verify compliance with the Clean Air Act, but then quietly disabled the emissions controls during normal highway cruising, thereby emitting up to three times the maximum allowed NOx pollution. [23]

In December 2023, Cummins was fined $1.675 billion by the U.S. Justice Department for violations of the Clean Air Act. [24] Cummins was found to have installed devices designed to bypass or disable emissions controls on 960,000 Dodge and Stellantis RAM pickup truck diesel engines between 2013 and 2023. [24] [25] It will also pay $325 million in remedies and recalls. [26]

Carbon footprint

Cummins reported Total CO2e emissions (Direct + Indirect) for the twelve months ending 31 December 2020 at 595 Kt (-94 /-13.7% y-o-y). [27] The company plans to reduce total emissions (Direct + Indirect) 50% by 2030 from a 2018 base year [28] and also aims to reach net-zero by 2050. [29]

Cummins's annual Total CO2e Emissions - Market-Based Scope 1 + Scope 2
Dec 2017Dec 2018Dec 2019Dec 2020
842 [30] 879 [31] 689 [32] 595 [27]

See also

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References

  1. 1 2 "US SEC: 2023 Form 10-K Cummins Inc". U.S. Securities and Exchange Commission. 12 February 2024.
  2. ↑ "Cummins Fortune 500". Fortune. Archived from the original on 21 December 2019. Retrieved 16 May 2018.
  3. ↑ "Clessie Cummins – founder of Cummins Engine Co". 15 August 2018. Retrieved 31 August 2022.
  4. ↑ Wren, James A.; Wren, Genevieve (1979). Motor Trucks of America . Ann Arbor MI: The University of Michigan Press. p.  124. ISBN   0-472-06313-8.
  5. ↑ Pinkpank, Jerry A (1973). The Second Diesel Spotter's Guide. Kalmbach Books. pp. 138, 189, 192. LCCN   66-22894.
  6. 1 2 "About Cummins, our History, in words". Cummins. Retrieved 20 June 2013.
  7. ↑ Wren & Wren (1979), p. 232.
  8. 1 2 "Cummins 5.9 and 6.7 liter inline six-cylinder diesel engines". Allpar.com. 27 October 2010.
  9. ↑ "Pardue v. Cummins, Inc. et al, ED LA Case No. 08-1677". Archived from the original on 17 December 2012.
  10. ↑ Diane Cardwell; Clifford Krauss (22 April 2013). "Trucking Industry Is Set to Expand Its Use of Natural Gas". The New York Times. Retrieved 23 April 2013.
  11. ↑ "United Rentals Expands Power & HVAC Fleet with Acquisition of Portable Power Assets". unitedrentals.com. 22 August 2017. Retrieved 15 March 2018.
  12. ↑ "Cummins Announces Official Rebranding of Onan Generators". Cummins Inc. Retrieved 11 October 2020.
  13. ↑ President Biden brings "Investing in America" tour to Twin Cities business. CBS News, April 3, 2023
  14. ↑ Cummins to invest over $1 bln to upgrade U.S. facilities to new clean energy tech. Reuters, April 3, 2023<
  15. ↑ Cummins U.S. CUMMINS ANNOUNCES INVESTMENTS OF MORE THAN $1 BILLION ACROSS U.S. MANUFACTURING NETWORK - Electrolyzer Product in Fridley, Minnesota Cummins, April 3, 2023, Columbus, Indiana
  16. 1 2 "Worldwide Manufacturing Locations". Cummins. 1 March 2008. Retrieved 14 September 2017.
  17. ↑ "Cummins India Listing Information". The Economic Times. Retrieved 17 July 2022.
  18. ↑ Mishra, Ashish K.; Mohile, Shally Seth (25 September 2014). "Innovation pays off for Cummins". Live Mint (HT Media Ltd.). Archived from the original on 7 February 2015.
  19. ↑ "The College". Pune, India: Cummins College of Engineering for Women. Archived from the original on 7 February 2015. Retrieved 18 September 2015.
  20. ↑ "Nissan Titan". www.cummins.com. Retrieved 11 October 2020.
  21. ↑ "Cummins 555 Motor Specifications". It Still Runs. Retrieved 22 May 2020.
  22. ↑ United States Environmental Protection Agency (22 October 1998), Mack Trucks Diesel Engine Settlement, archived from the original on 2 October 2015, retrieved 10 October 2019
  23. 1 2 Plungis, Jeff; Bloomberg News (27 September 2015), "Carmakers cheating on emissions almost as old as pollution tests", Daily Herald
  24. 1 2 Shepardson, David (22 December 2023). "Cummins to pay record-setting $1.675 billion US environmental fine". Reuters . Retrieved 22 December 2023.
  25. ↑ Panait, Mircea (23 December 2023). "Cummins 6.7L Turbo Diesel Emissions Scandal: Engine Manufacturer Agrees To Pay Record Fine". autoevolution. Retrieved 26 December 2023.
  26. ↑ "Cummins to Recall 600,000 Diesel Ram Trucks Following $2 Billion Emissions Penalty". Yahoo Finance. 11 January 2024.
  27. 1 2 "Cummins's Sustainability Report for 2020Q4" (PDF). Archived from the original (PDF) on 11 October 2021. Alt URL
  28. ↑ "Cummins's Sustainability Report for 2020Q4" (PDF). Archived from the original (PDF) on 11 October 2021. Alt URL
  29. ↑ "Cummins's Sustainability Report for 2020Q4" (PDF). Archived from the original (PDF) on 11 October 2021. Alt URL
  30. ↑ "Cummins's Sustainability Report for 2017Q4" (PDF). Archived from the original (PDF) on 11 August 2021. Alt URL
  31. ↑ "Cummins's Sustainability Report for 2018Q4" (PDF). Archived from the original (PDF) on 11 August 2021. Alt URL
  32. ↑ "Cummins's Sustainability Report for 2019Q4" (PDF). Archived from the original (PDF) on 11 October 2021. Alt URL
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