COMMENT: Scania’s engine supply deal with Oshkosh raises interesting questions

Scania’s announcement to the effect that it has formed an engine supply partnership with Oshkosh comes at an interesting time for both companies.

Initially, the supply deal will see the delivery of Stage IV and Tier 4 final industrial engines rated from 550-770 bhp along with other engines meeting less stringent emissions criteria. The former will be used by Oshkosh within its airport product vehicles; within Oshkosh this division accounted for 10.6% or US$719m of Oshkosh’s US$6.8bn sales total during 2014. But, as the release points out, this is very much the start of a relationship likely to develop further.