Major US OEM awards Concentric AB a new contract to supply electro hydraulic steering (EHS) pumps for the next generation steering system on electric refuse trucks
Concentric AB has secured a pivotal contract with a major US OEM to supply its EHS pump for new electric refuse trucks. Production is set to commence in 2021, with anticipated sales revenues of MSEK 16 over five years. This contract aligns with increasing demand for electric vehicles driven by local regulations aimed at reducing CO2 emissions. The EHS system promises significant energy savings of up to 50% and operates effectively in electrified vehicles. CEO David Woolley highlighted this as a key development in electrifying commercial vehicles, presenting long-term growth opportunities.
- Contract awarded for EHS pump to a major US OEM, enhancing market position.
- Estimated sales revenues of MSEK 16 over the next five years.
- EHS system offers up to 50% energy savings, appealing in the electric vehicle market.
- Growing demand for electric vehicles driven by regulatory changes presents expansion opportunities.
- None.
SKÅNES FAGERHULT, Sweden, March 10, 2021 /PRNewswire/ -- Concentric AB has been awarded a strategically important contract for its EHS pump by a major global US OEM which will be used in their new electric refuse truck. These trucks will be deployed across the US starting in New York, the world's largest municipal sanitation department. Production will start in 2021 and sales revenues from this new contract are estimated to be worth MSEK 16 over the next five years.
Local city regulations continue to drive increased demand for electric commercial vehicles as cities legislate to reduce CO2 emissions to achieve their greenhouse gas goals. Buses were the first vehicles to be electrified and forecasts suggest all city buses in Europe, US and China will be either hybrid or fully electric by 2025. This trend to convert inner city commercial vehicles from the internal combustion engine to electrified powertrains is extending to small- and medium-duty trucks and offers Concentric exciting growth opportunities.
The primary benefit of the EHS system is to reduce energy consumption, achieving up to
Utilising ultra-reliable and compact 24V DC brushless electric motor and steering pump, the Concentric AB solution is easy to package and gives >40,000 hours of maintenance free service.
David Woolley, CEO & President of Concentric AB commented, "This supplier nomination continues to broaden our product offering in the strategically important sectors of electrified buses and small- and medium-duty trucks. The electrification of the commercial vehicle market presents long-term growth opportunities as we offer a range of e-Pumps for hybrid, fully electric and fuel cell powertrains. Importantly, our e-products also constitute a greater share of wallet of electric vehicles. We work collaboratively with our customers offering innovative products and are well positioned to be their supplier of choice."
For additional information, please contact:
David Woolley, telephone +44-121-445 6545
This information was brought to you by Cision http://news.cision.com
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FAQ
What contract did Concentric AB secure on March 10, 2021?
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