Ford, PSA Peugeot Citroen to develop Euro diesel engines

Ford Motor Company

The groundbreaking diesel engine co-operation between Ford Motor Company and PSA Peugeot Citroën celebrates its 10th anniversary, the two companies are announcing a new commitment in their joint program.

After building approximately 16.5 million diesel engines together over the past decade, and with a current annual build volume up to a potential three million engines, Ford and PSA are strengthening further their co-operation.

This Sixth Phase of the Gemini co-operation – the development and production of next-generation Euro 6-compliant engines – demonstrates the commitment of Ford and PSA to remain at the forefront of diesel engine technology, and will improve further the level of efficiency of diesel engines that remain a key enabler to reaching CO2 reduction targets.

This new agreement covers a range of Euro 6-compliant diesel engines for car and commercial vehicle use. This new range of diesel engines will deliver improved fuel economy, reduced CO2 emissions, and enhanced performance attributes. The first engines will go into production in 2013. It is expected that the overall investment for the R&D project associated with the Sixth Phase of the Gemini co-operation could be in the region of €300 million and will be shared between Ford and PSA.

"Ten years ago our two companies signed an agreement to co-operate on the development and manufacture of advanced diesel engines," said Stephen Odell, chairman and CEO, Ford of Europe.
"That co-operation, which we named the Gemini Project, had an ambitious objective: to combine our joint expertise to deliver a broad range of world-class, high-technology diesel engines while providing significant economies of scale.

"By working closely together over the past decade, we have achieved our objective, and the co-operation has proved to be one of the most enduring and successful partnerships in the global automotive industry. Together we are the largest manufacturer of high-technology diesel engines in the world. Building on that achievement, we are now looking to the future and taking our co-operation forward into its second decade," said Odell.

Philippe Varin, chairman of the managing board of PSA Peugeot Citroën, said : "The co-operation has given both PSA and Ford shared access to diesel engine technologies, while delivering scale advantages. But perhaps the real success of the Gemini Project lies in the way that cross-functional and cross-company teams – based in Britain, Germany and France – have worked together to develop a highly successful and acclaimed range of market-leading diesel engines. By reaffirming and strengthening our co-operation, we are ensuring that we will continue to be at the forefront in meeting future CO2 challenges."

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