Sources: Caterpillar Inc., Peoria; Navistar International Corp., Woodridge, Ill.
A Memorandum of Understanding announced in mid-June will see Caterpillar and Navistar pursue global on-highway truck business opportunities, including development of a North American severe-service construction model, and cooperate on a variety of engine platforms. Caterpillar is targeting a 2010 introduction of a Cat-branded, heavy-duty truck for severe-service applications, potentially modeled after the Navistar Paystar and Workstar chassis.

“This new truck will incorporate the quality of Caterpillar’s construction and mining machines and provide construction customers a one-stop solution,” notes Caterpillar Group President Douglas Oberhelman. Caterpillar has also determined it will not supply EPA 2010-compliant engines to truck and other on-highway original equipment manufacturers, he adds, but the company and its dealers will continue to provide product support and service beyond 2010 for all Caterpillar on-highway engines regardless of truck brand. With nearly 90 percent of the company’s engine business being off-highway, Caterpillar will continue to concentrate on power for its own construction and mining equipment, plus opportunities in petroleum, marine, electric power generation and industrial markets.