1. Diesel engine group alliance and capital will be more concentrated

International diesel engines will be concentrated in the capital and industrial development will be further strengthened due to group alliances and asset restructuring. In the 1980s, MAN Company and B&W Company formed a new MAN-B&W Group Company. In 1992, they acquired part of the shares of Pielstiek Company with MTU Company; Wrtsil Company merged with French SACM and Dutch Stork and other diesel engine companies, and joined with NewSulzer in 1996, in the same year, American Caterpillar and German MAN joined forces. In Japan, Mitsubishi cooperated with Akasaka Engine Plant, Kobe Engine Plant, and Ube Industries to transfer Mitsubishi’s medium-sized UE diesel engine production from Yokohama Engine Plant to Kobe Engine Plant, making Yokohama Engine Plant specialize in manufacturing large diesel engines, and Kobe Engine Plant focusing on producing medium-sized diesel engines.

 

2. Diesel engines will gradually transfer to the industries of developing countries

In recent years, the main downstream industries of diesel engines (automobiles, ships, construction machinery, agricultural machinery, etc.) have gradually transferred to industries in developing countries. Diesel engines are the main power plant in these industries and will also be transferred to developing countries following these industries. International multinational companies have also accelerated their investment in China, striving to gain a place in China. For example, Caterpillar of the United States has invested faster in China in recent years. In 2017, the Tianjin plant put into operation 3500 marine engines and generator sets.

 

3. The focus of innovation is energy-saving and emission reduction

From the perspective of emissions, carbon dioxide emissions from transportation, agriculture, and industrial machinery that are mainly powered by diesel engines account for a large proportion of the overall environmental emissions. And for a long period of time, internal combustion engines (including diesel engines) that use petroleum resources as energy will still be the main driving force. In the face of the increasingly stringent environmental protection and energy and sustainable development requirements of countries around the world, the world’s largest multinational groups, and companies are using various high-tech methods to step up the development of low-emission, ultra-low-emission, and zero-emission technologies. Because diesel engines have higher thermal efficiency than gasoline engines and are more environmentally friendly, they will become key development targets.