Mar
12th

Navistar set to buy GM’s medium duty trucks

You may recall that Navistar supplies Ford with diesel engines for its Super Duty trucks. You may also recall that the last two diesel engines used in Ford’s Super Duty pickups (the current 6.4L Power Stroke and last generation’s 6.0L) have had some quality problems. The 6.0L Power Stroke was known for problems stemming from defective fuel injectors, while the newer 6.4L has had one recall related to high exhaust temperatures that could ignite diesel fuel in the particulate filter, causing an impressive light show out the tailpipe. Because of their strained relationship on account of these engines, Ford and Navistar are likely to part ways in the near future.

So what do you do when your biggest client dumps you? You walk across town and strike a deal with its competitor. General Motors announced this morning that it has entered into a “non-binding memorandum of understanding” (read: gentleman’s handshake) with International Truck and Engine Corporation to sell its medium-duty truck business to the Navistar owned-and-operated subsidiary. Thus, Navistar will eventually take over building and selling the GMC TopKick and Chevy Kodiak trucks. That’s right, while Ironhide will remain a GMC vehicle, he’ll no longer be owned by GM.

To be fair, Navistar was undoubtedly forced to produce the last two Power Stroke diesels for Ford in a hurry to meet rising emissions standards, which likely contributed to the problems that both engines have had. Apparently that doesn’t bother GM, as we expect the TopKick and Kodiak will likely eschew their Duramax turbodiesels for International diesel engines after the deal is done.

[Source: GM]

Continue reading Navistar set to buy GM’s medium duty trucks

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