John Deere Power Systems and Deutz have announced plans to jointly develop and source components for a low horsepower range engine up to 130kW.
Working together, the parties have said that they will be able to close a gap in the market by developing an engine that provides customers additional and exceptional value upon initial purchase while retaining the reliability, versatility and performance they’ve come to expect from John Deere and Deutz engines.
The parties also said that John Deere and Deutz bring different perspectives and capabilities to the table and, through this collaboration, the two companies can broaden their supply base and benefit from global scale – ultimately translating to increased market and customer value.
The co-development and co-sourcing scope includes engine hardware and design, from which each company will customise its product to meet customers’ specific needs through software and controls.
Engine manufacturing and distribution will be done independently by John Deere and Deutz.
"John Deere and Deutz are both industry leaders in designing and manufacturing innovative power systems," said Pierre Guyot, senior vice-president at John Deere Power Systems.
Through combining our complementary knowledge sets and focus areas, we are excited to offer John Deere and Deutz customers a reliable, cost-effective engine option in the low horsepower range.
Deutz CEO Frank Hiller stated:
"The fact that John Deere chose Deutz as a collaborator for this engine project underlines our strong position in off-road engine applications.
This collaboration is an important step in establishing a business relationship between the two companies.
"We are very excited about the opportunity to join forces with an industry leader like John Deere, thereby creating value for our customers."