Rolls-Royce Signed a LOI with Sumec for mtu Engines at the Import Expo (CIIE)

Source: 11/22/2022, Location: Asia

Rolls-Royce’s business unit Power Systems has signed a letter of intent (LOI) with Sumec, a long-term partner in the power generation sector, at the fifth China International Import Expo (CIIE) which was held in Shanghai from 5 – 10 November 2022.

The letter of intent covers over 200 units of mtu engines and systems in total, more than twice the size of what was signed in last year’s CIIE. The letter includes loose engines with a mix of Series 4000 and Series 2000 engines, partly manufactured by MTU Yuchai Power Company Limited, the joint venture between Rolls-Royce and Guangxi Yuchai Machinery Company Ltd., locally assembled diesel systems as well as gas systems and dynamic UPS. The engines and systems will be used primarily for market segments including but not limited to telecommunications, semiconductor, data center and biogas application. With the mtu solutions, the customer will be well equipped to guarantee the continuous power supply, which is critical for these applications, thus avoiding the loss that may be brought by power disruption.

Eugenia Valente, President, Rolls-Royce Solutions Greater China, said: “Sumec is a long-term partner of Rolls-Royce. The cooperation between the two companies started in 2014. The fact that Sumec puts its trust in our mtu solutions for such a wide range of industries makes us proud. And it proves that our investments, focus on building long-term partnerships in China and our ‘local-for-local’ approach for localization are the right strategy, benefitting both Rolls-Royce and our Chinese partners. China is the most important growth market for us, as a provider of integrated solutions for power and propulsion, we strive to support the country’s economic growth and infrastructure development. We also look forward to supporting China’s journey towards decarbonisation with our sustainable solutions.”

The Chinese market presents tremendous opportunities for the business growth of Rolls-Royce’s Power Systems business unit, which has an important role to play in ensuring power for China’s new infrastructure through best-in-class safety-critical mtu power solutions.

Cheng Xiaosong, Vice Chairman of Sumec M&E, said: “Over the past 40 years, Sumec has demonstrated a continued commitment to high-quality development, innovation, stability and sustainable development. Stable backup power supply is crucial for us to maintain our operational excellence. Rolls-Royce has been supplying mtu engines that well support our business security and continuity. We look forward to bringing our cooperation to a new level, and hope to work together with Rolls-Royce to step into new industries and sustainable solutions.”

Expanding market share and establishing and deepening partnerships in China are key to the success of the PS 2030 strategy, under which Rolls-Royce Power Systems is evolving from an engine manufacturer to a provider of integrated sustainable solutions. Rolls-Royce has been producing mtu engines in China since 2006 and formed joint ventures with Chinese manufacturers to continue localizing its footprint over the years.

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