Scania invests in engine production

Scania invests in order to increase it´s engine production capacity.
“We have signed a memorandum of understanding with GM Powertrain to acquire it´s production plant in Södertälje Sweden,” says Per Hallberg, Head of Production and Procurement and a member of Scania’s Executive Board.

This acquisition will enable Scania to increase engine component production capacity and to start production of injection systems for engines.

“It´s an important step in the task of boosting Scania’s total production capacity to 100,000 vehicles by 2010,” Mr Hallberg says. “Another advantage is that we will have production and product development in close proximity to each other.”

Scania will offer all employees at the GM Powertrain production plant employment at Scania. Scania will by that gain access to personnel with long experience of engine manufacture.

“According to plans, during 2009 we will successively start production in the portions of the plant that GM makes available,” Mr Hallberg says. This production will include machining of engine components and a new generation of extra high-pressure injectors (XPI).

Since 1992, Scania has a successful alliance with the American engine manufacturer Cummins to develop and manufacture injection systems for engines. This alliance led to development of Scania HPI, the injection system used in Scania trucks today, which will be replaced by XPI. Production takes place in a joint venture company with manufacturing in United States, Mexico and in the future in Sweden.

“With XPI, we can offer our truck and bus customers the best conceivable operating economy, while reducing emissions so that we meet both Euro 5 and 6 environmental standards,” Mr Hallberg says.


For further information, please contact:

- Gunnar Boman, Corporate Relations, telephone +46 8 553 895 10
- Stina Thorman, Head of Investor Relations, telephone +46 8 553 837 16

About Us

Scania is a part of Volkswagen Truck & Bus GmbH and one of the world’s leading manufacturers of trucks and buses for heavy transport applications. Scania is also leading provider of industrial and marine engines. Service-related products account for a growing proportion of the company’s operations, assuring Scania customers of cost-effective transport solutions and maximum uptime. Scania also offers financial services. Employing some 44,000 people, the company operates in about 100 countries. Research and development activities are concentrated in Sweden, while production takes place in Europe and South America, with facilities for global interchange of both components and complete vehicles. In 2015, net sales totalled SEK 95 billion and net income amounted to SEK 6.8 billion. Scania press releases are available on www.scania.com

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