Wärtsilä Corporation and Zhuhai Yuchai Marine Power Co Ltd, a subsidiary of Guangxi Yuchai Machinery Group Co Ltd, have jointly signed a licence agreement for the manufacture and sale of Wärtsilä RT-flex low-speed marine diesel engines by Zhuhai Yuchai Marine Power in China.

The agreement grants Zhuhai Yuchai Marine Power the right to
manufacture all sizes of Wärtsilä RT-flex modern low-speed engine types
at its new factory in Zhuhai City, Guangdong province. However, Zhuhai
Yuchai Marine Power will focus on engines of 35 to 50 cm cylinder bore.
The main attraction of the new licence agreement for Zhuhai Yuchai
Marine Power is Wärtsilä’s programme of RT-flex engines with
common-rail technology. This is the latest and most modern technology
for low-speed diesel engines incorporating full electronic control of
engine processes.

The new manufacturing capacity of Zhuhai Yuchai Marine Power will make
a significant contribution to the delivery of Wärtsilä low-speed marine
engines to the growing shipbuilding industry in China. The first
engines are planned to be completed in November 2011.

The agreement was signed in Zhuhai City in Guangdong province by Mr
Jiang Shihong, Chairman of Zhuhai Yuchai Marine Power, and Mr Martin
Wernli, President of Wärtsilä in Switzerland.

“Zhuhai Yuchai Marine Power is looking forward to building Wärtsilä
low-speed engines. The new agreement makes it possible for our company
to deliver today’s most advanced low-speed diesel engines to our
shipyard customers. It will extend our product portfolio and put our
company right among the leading suppliers of marine equipment to the
Chinese shipbuilding industry”, said Mr Jiang Shihong.

“Wärtsilä is pleased to be able to establish this partnership with a
company in the well respected Guangxi Yuchai Machinery Group and to
increase the manufacturing volume for smaller Wärtsilä common-rail
low-speed engines. We look forward to a long-lasting fruitful
partnership”, said Mr Martin Wernli.

The new licensee is located at Zhuhai City in Guangdong Province.
Founded in 1951, Guangxi Yuchai Machinery Group, the parent company of
the new licensee, is located at Yulin City in Guangxi province in
south-west China. Guangxi Yuchai Machinery Group is the largest
manufacturer of and the market leader for automotive four-stroke diesel
engines in China. The new licensee is building a new factory on a
330,000 m2 site at Fushan Industry Zone, Zhuhai City, for the
manufacture of low-speed engines. The new factory will have an initial
capacity to build engines with an aggregate output of about 1.2 million
brake horsepower (885 MW), later increasing to three million bhp (2205
MW).

Wärtsilä RT-flex marine low-speed engines bring direct benefits to
shipowners. The new technology provides great flexibility in engine
setting for lower fuel consumption, lower minimum running speeds,
smokeless operation at all running speeds, and better control of other
exhaust emissions.

Support for the manufacture of Wärtsilä low-speed engines will be
provided by Wärtsilä’s Switzerland company which is the group’s centre
of excellence for the design, development, research, marketing,
licensing, servicing and support of Wärtsilä low-speed engines.

Source: Wärtsilä

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