Ford & IH finalize diesel divorce

[Builder]

We all knew it was coming, now we know the final day. Ford & IH announce they're no longer lovers.

We also now know (for certain) that Ford will be offering yet another diesel in the Superduty this fall, built by someone else. Also, IH will extend it's realtionship with Ford to continue to build the 650/750 for Ford in Mexico:

NAVISTAR AND FORD REACH NEW BUSINESS AGREEMENT

Companies to Continue to Collaborate on Medium Duty Trucks and Other Initiatives

Jan. 13, 2009 Ford Motor Company and Navistar have reached an agreement to restructure our ongoing business relationship and settle all existing litigation between our companies.

As a result of the agreement, Navistar and Ford will end our current diesel engine supply agreement effective Dec. 31, 2009. However, we will continue to collaborate on a range of initiatives, including the existing Blue Diamond Truck and Parts joint ventures. Navistar will acquire additional equity in the Blue Diamond joint ventures, which will continue to offer dealers and customers F-650 and F-750 medium duty trucks, as well as parts support for a variety of Ford products, including Ford's PowerStroke Diesel-equipped trucks. We will also continue our diesel engine supply relationship with Ford in South America. As a result of the agreement, Ford will make a payment to Navistar.

哲avistar and Ford benefitted from a successful partnership that provided value to both companies for nearly three decades. However, it痴 in our best interests to resolve our conflict and continue our relationship with each other in other areas, said Dan Ustian, chairman, president and CEO. 典he next phase of our relationship is consistent with Navistar痴 strategy to diversify our customer base, while continuing to provide value to both companies through our existing joint ventures and our supply agreement in South America.

展e are pleased to have reached an agreement with Navistar that we believe is in the best interest of both companies, said Mark Fields, Ford's president of The Americas. 典his agreement comprehensively addresses our business relationship with Navistar and will help both companies focus on meeting the needs of our current and future truck customers.

Q&A:

What was the dispute about?

The issues involved in the lawsuits filed by Ford and Navistar against one another were numerous and complex. Moreover, the agreement that we have announced today goes well beyond those specific issues. As we have indicated, in addition to resolving and dismissing the lawsuits, Ford and Navistar have agreed to restructure our overall business relationship. We will not be disclosing the details of the settlement at this time, but the two companies believe that we have reached an overall settlement that is fair to each company and that will allow us to go forward to meet the needs of our current and future truck customers.

What are the specific terms of the settlement agreement?

The terms of the settlement agreement are not being disclosed at this time.

Can you provide some examples of how Navistar has diversified its Engine business?

We have taken many significant steps to diversify our product line-up and customer base over the past three years. In 2005, we acquired MWM Diesel Motores, our largest competitor in South America. As a result, we gained an array of engines that better suit the needs of world markets. Since then, we have expanded into China and India via our South American engine business.

Meanwhile, we致e also expanded beyond mid-range engines in North America with the MaxxForce 11/13, our new big bore engine that we introduced this year. Navistar is now able to provide a truly integrated truck and engine offering to the important heavy truck segment. In addition, our traditional mid-range diesel engine business also has diversified and grown due to the strength of Navistar痴 Military business, as well as new business with global and OEM customers.

In addition, Navistar has announced its intent to produce a proprietary 15-liter engine to integrate into its Class 8 vehicles. Further details will be provided at the Mid-America Truck Show in March 2009.

What will happen to Navistar's Indianapolis Plant as a result of this agreement?

We have not made a decision about the future of the facility at this time.

Assuming Ford continues to offer a diesel engine in its trucks beyond the conclusion of the Navistar contract, what type will it be and who will supply it? Is Ford doing its own?

We don't have information about Ford's future product plans

 

[John Deere 3520]

We knew it was coming,but its sad because International makes good motors and Ford messed up when they couldnt wait for the EPA friendly 7.3 in 2003 and they had to have the 6.0liter the worst diesel motor from 2003-2005. How sad

 

[Builder]

We knew it was coming,but its sad because International makes good motors and Ford messed up when they couldnt wait for the EPA friendly 7.3 in 2003 and they had to have the 6.0liter the worst diesel motor from 2003-2005. How sad

I do feel the same way as you about the 6L, but think of the 6.4L guys. A whopping 2 year run.

Not exactly the "ironman" of diesels, huh?

 

[John Deere 3520]

Yea they should have keep the 6L till 2010. and have international make a 2010 compliant motor for them. the 6L was a good motor in 2006-2007, I just hope this new 6.7 diesel there making in house turns out better then that 6.9 they made..

 

[Builder]

Yea they should have keep the 6L till 2010. and have international make a 2010 compliant motor for them. the 6L was a good motor in 2006-2007, I just hope this new 6.7 diesel there making in house turns out better then that 6.9 they made..

the 6.9L was an IH motor......

 

[L-ENTERPRISES]

The Scorpion 6.7L will be fine .....

They are both equaly at fault over the 6.0L

 

[Builder]

The Scorpion 6.7L will be fine .....

Know something we don't know?

The 6L was supposed to be "fine" too.

I'll never make the mistake of classifying something as good until it's got years & millions of miles of testing under its' belt.

 

[Ryan03]

It may be a turd, or it may be a ball of fire. One thing is for sure, It will have the same crappy inefficient dpf system that all the other new Diesel trucks have. If you are reading this and your truck has a DPF, I say this with all due respect

 

[Builder]

It may be a turd, or it may be a ball of fire. One thing is for sure, It will have the same crappy inefficient dpf system that all the other new Diesel trucks have. If you are reading this and your truck has a DPF, I say this with all due respect

Not only will it have DPF, but it will most likely also have urea injection!

 

[John Deere 3520]

Well let me tell everyone something Im not a fan of the EPA nor alot of people for that manner,but were going to have to live with it my dad has a LMM dmax with no DPF and it works great worked great with the DPF but it was so easy to take off so why not..

 

[John Deere 3520]

And wasnt the 6.9 a 460block turned into a diesel by international???

 

[Ryan03]

Great, I already have to pee in a bottle at work for CDL testing, And someday I will also have to do the same to drive my new truck. I will begin drinking plenty of liquids now so I will be ready for this change when I buy one in 10 years

 

[powerstroke444e]

I still don't get how the 7.3 to this day gets better mileage and has the power to handle anything that should or shouldn't be pulled with a pickup, but they (ford) keeps wanting to make more power and with less displacement, which takes more fuel. How is that making the envoriment or my pocket book any better??? Guess thats why I have an old 7.3L not a new one.

 

[Ryan03]

The general public thinks they need 400hp and 700 lb ft in a pickup to tow their jet ski to the boat ramp. Not only do horses like to eat, but they also require stronger drivetrain components, bigger springs, more cooling, bigger brakes, all that equals more weight, combined with more power equals feed me often.

 

[John Deere 3520]

Thank you for chiming in with that the 7.3 has had the best MPGs of any diesel they have had in there trucks the new 6.4 might get better if it didnt have a DPF but not from the factory it dont kind of stupid if you ask me..

 

[powerstroke444e]

The general public thinks they need 400hp and 700 lb ft in a pickup to tow their jet ski to the boat ramp. Not only do horses like to eat, but they also require stronger drivetrain components, bigger springs, more cooling, bigger brakes, all that equals more weight, combined with more power equals feed me often.

Lord only knows what I would try to pull with something that has that kind of hp. I find the old 7.3L has more hp than brakes and springs, and the newer truck are even worse they have more hp but are still limited by the springs tires and brakes.
In IL you can only go 55mph and I don't like trying to find out how much fuel I can use on every trip.

 

[DieselPower]

Well let me tell everyone something Im not a fan of the EPA nor alot of people for that manner,but were going to have to live with it my dad has a LMM dmax with no DPF and it works great worked great with the DPF but it was so easy to take off so why not..

Why not, well it's illegal for a start and can carry a rather hefty federal as well as state fines for tampering with the pollution control system. Secondly, do you enjoy polluting the environment?

Unfortunately the diesel industry is in it's infancy when it comes to emissions control systems. Much like the gas engine industry went through years ago. Anyone who has ever owned or worked on a mid 80's medium duty Chevy with a 366 in it knows what I'm talking about. Open the hood and it's a maze of vacuum hoses and pumps. The medium duty trucks were 2 times as bad as the automotive counterparts because they actually had 2 smog pump systems, gives me the chills just thinking about working on one. Fast forward 20+ years and gasoline engines emissions systems have become much easier to work on and much more efficient. I figure it will be a while until technology finally catch's up with the diesel engine industry just like it did with gasoline industry. Their called growing "pains" for a reason.

 

[DieselPower]

And wasnt the 6.9 a 460block turned into a diesel by international???

Nope, two completely different engines. Actually if you look at the water passage setup of the 6.9/7.3 engines it looks more like some of the 70's International gasoline engines in the 400+ CI range. Don't forget International made gasoline engines for decades.

 

[John Deere 3520]

Well i guess i was told false info on the 6.9, and PA were we live dont check Emmissons yet and when they do we will put it back on.. If you dont think its cool to see some black smoke come out once in a while your weird.. LOL

 

[Builder]

Well i guess i was told false info on the 6.9, and PA were we live dont check Emmissons yet and when they do we will put it back on.. If you dont think its cool to see some black smoke come out once in a while your weird.. LOL

While it is true that PA doesn't have state emmissions inspections for diesels, it is a federal offense to tamper with a pollution control device. The EPA is a federal agency who's laws cover all 50 states, not just PA.

So even if there's no emissions inspection here, you can still get in a heck of a lot of trouble if the right person finds you have removed a DPF.

Probably the best scenario for that is if you got pulled over by MVCE police while driving through in a neighboring state that does have diesel emissions.