Delphi Awarded $2.5 Billion Diesel Common Rail Contract To Supply Renault

Autoparts Report, Oct 18, 2002

Delphi Corp. has won a contract with an estimated lifetime value exceeding $2.5 billion to supply advanced common rail diesel injection systems to Renault. The contract is an extension of the cooperation between Renault and Delphi in many areas of high technology, including the introduction last year of a new generation of high- performance diesel vehicles that use Delphi's Multec DCR 1400 injection systems, Delphi said.

"This jointly developed advanced diesel common rail technology provides better performance, greater refinement and lower fuel consumption and emissions: all key factors in differentiating diesel vehicles in an increasingly competitive market," said Jose Maria Alapont, president of Delphi Europe, Middle East and Africa and vice president, Delphi Corp

Delphi common rail systems will be available on the new Megane II, as well as Clio and Kangoo models fitted with the 1.5 liter dCi engine, Delphi said. The new agreement will take the partnership with Renault on common rail up to 2008, it added. The system has already allowed Renault to achieve compliance with the Euro III emissions standards and will allow compliance with Euro IV when required, according to Delphi.

Delphi said its second generation common rail technology has already attracted substantial additional business with Ford, Hyundai-Kia and PSA Peugeot Citroen. Delphi said its common rail manufacturing production is expected to reach 2.5 million systems per year by 2006.

Dominique Chauvin, European managing director of Delphi Energy & Chassis Systems, expects diesel engines to account for more than 45 percent of European car sales by 2005 compared with around 39 percent today.