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Cummins gets $54M to develop fuel efficient vehicles (As they shut plants in Iowa and TN to Mexico)
wishtv.com ^ | Monday, 11 Jan 2010, 11:25 AM EST | Hyacinth Williams

Posted on 01/18/2010 7:31:16 PM PST by fallingwater

COLUMBUS, Ind. (WISH) - Engine-maker Cummins was the site of a federal announcement from the Department of Energy on Monday.

The Columbus-based company is receiving nearly $54 million to develop more fuel efficient passenger cars and heavy duty vehicles.

"The American automobile and truck industry has been a backbone of American industry and we need to continue to have it as a major foundation in America,” said U.S. Secretary of Energy Steven Chu. “Revitalizing this industry requires change and requires innovation and Cummins represents the best of all that."

The money comes from the $787 billion stimulus package. Indiana is getting 50% of the government grant money. Navistar in Fort Wayne is in line for more than $37 million.

"The collaborative relationship between Cummins and the DOE over the past 20 years can be seen as a mile in goals. Our partnership has allowed us to bring evolutionary and breakthrough clean diesel and lower cost that neither of us could have done alone,” said Tom Linebarger, President and CEO of Cummins Inc.

Its good news for Cummins which saw over 600 workers lose their jobs last May. By October, about 270 workers were called back to help build engines for the 2010 Dodge Ram trucks.

This grant money will create about 160 jobs at Cummins and 200 at Navistar.

"That's almost 400 Hoosier families that will be earning a paycheck, putting food on the table, paying the mortgage, saving for college and retirement, helping to turn this economy around,” said Senator Evan Bayh, (D) Indiana.

In total, nine projects are receiving cash with the expectations to create jobs.

The White House said the $187 million in grant money is being given out mainly to companies based in economically hard hit Michigan and Indiana.

(Excerpt) Read more at wishtv.com ...


TOPICS: Business/Economy; Government; Politics
KEYWORDS: mexico; nafta; stimulus; unemployment
article Iowa plant layoff (closure)

http://www.kttc.com/Global/story.asp?S=10994596

TN plant layoff article

http://jimherrin.blogspot.com/2009/09/cummins-fleetguard-announces-job-cuts.html

1 posted on 01/18/2010 7:31:19 PM PST by fallingwater
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To: fallingwater

http://www.kttc.com/Global/story.asp?S=10994596

http://jimherrin.blogspot.com/2009/09/cummins-fleetguard-announces-job-cuts.html


2 posted on 01/18/2010 7:33:06 PM PST by fallingwater
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To: fallingwater

since when is 270 “almost 400” I hope I can borrow 400 from Bayh and pay him back 270.


3 posted on 01/18/2010 7:41:12 PM PST by omega4179
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To: fallingwater

So what are the passenger cars cummins is going to come up with?

I’ve often wondered why cummins doesn’t build a half ISB and use it in a half ton pickup. A three cylinder turbo diesel of 204 cu in displacement(3.4 liters) would be perfect for a half ton pickup.


4 posted on 01/18/2010 7:43:42 PM PST by mamelukesabre (Si Vis Pacem Para Bellum (If you want peace prepare for war))
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To: fallingwater
This is crony capitalism, gov't picking winners and losers.

5 posted on 01/18/2010 7:48:34 PM PST by Extremely Extreme Extremist
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To: fallingwater

Apples and Oranges.

The IA and TN plants are Cummins Fleetguard plants, making filters. These are very cost-sensitive products (corrogated paper in a tin can) that can’t support US labor rates.

Cummins is probably the best in the world at making and controlling high efficiency diesel engines, this move makes sense to focus resources on high tech products and R&D that will keep them at the forefront. Oil filters just won’t cut it.


6 posted on 01/18/2010 8:01:32 PM PST by bigbob
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To: fallingwater

Don’t blame it on Cummins. Congress and the EPA and other agencies have made it virtually impossible to make a profit in the United States.


7 posted on 01/18/2010 8:17:54 PM PST by Blood of Tyrants (Truth - Reality through the eyes of God.)
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To: fallingwater

Does that mean that an American company would possibly field a diesel passenger car in the next five years?


8 posted on 01/18/2010 8:47:06 PM PST by jz638
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To: bigbob

I blame a lot of the problems at the Cookeville plant on the people managing the plant. They concentrate on political correctness instead of more important things. If quality in the Cookeville plant is lower than other plants in the company, that’s a reflection on the local management. They should have concentrated on quality instead of worrying about if a rebel flag was on anyone’s car or worrying about what color your skin is while filling positions. Currently engineers are being laid off while their jobs are posted to be filled. They can’t apply. Wrong skin color. UAW current contract isn’t helping the situation either.


9 posted on 01/18/2010 8:51:43 PM PST by fallingwater
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To: fallingwater

Why Cummins, they have bad fuel milage truck engines!


10 posted on 01/18/2010 8:53:29 PM PST by dalereed
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To: bigbob

“Cummins is probably the best in the world at making and controlling high efficiency diesel engines’

Cat engines are far more efficient!


11 posted on 01/18/2010 8:55:33 PM PST by dalereed
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To: fallingwater

What is Cummins going to do, vis-a-vis automobiles and passenger vehicles; reinvent the wheel? Volkswagen already has diesel automobile engines that get astronomical fuel mileage.

I’m happy for the folks who will have a job through this; but don’t ignore the fact that these are UNION workers. Any stimulus money for non-union shops?


12 posted on 01/18/2010 9:15:49 PM PST by Tucker39 (I Tim. 1:15b " .....Christ Jesus came into the world to save sinners, of whom I am chief.")
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