Dongfeng Cummins set up engine R&D center talent localization into core

On August 8, the East Asia R&D Center, a joint venture between Dongfeng Motor and Cummins, was officially completed and opened in Wuhan. This milestone marks a significant shift in the collaboration between the two companies, moving from product manufacturing and introduction to joint research and development. As the first Sino-foreign joint R&D center in China’s engine industry, it highlights the deepening partnership between the two global players. The center is led by a Chinese general manager, emphasizing the importance of local leadership in this strategic initiative. On the same day, Dr. John Wall, Cummins’ Global Vice President, extended his congratulations to Lin Weixi, who became the first Chinese global vice president in the company’s history. The first major product developed through the Cummins-Dongfeng Joint Venture Technology Center is a 13-liter all-electronic heavy-duty diesel engine designed to meet the upcoming emission standards in the U.S. and Europe, including the EPA 2010 and Euro V regulations. This innovation is expected to support the future development of Dongfeng’s heavy commercial vehicles. Cummins plans to tailor export and overseas licensing strategies based on the specific needs of international markets. The collaboration between Dongfeng and Cummins in high-powered engines has added momentum to the Dongfeng Renault commercial vehicle project, which had previously faced challenges. This move aligns with Cummins’ broader strategy in China, where it has partnered with Shaanxi Automobile Group and Beiqi Foton, while also strengthening its joint ventures with Dongfeng. As a result, Cummins is increasingly becoming a key player in China’s commercial vehicle sector. Cummins’ success in the Chinese market is closely tied to several influential Chinese individuals, reflecting the effectiveness of its localization strategy. One such figure is Dr. Lin Weiyi, a nearly 90-year-old former executive who still resides in Columbus, Indiana, home to Cummins’ U.S. headquarters. He remains deeply involved in the company’s operations in China. Hua Qiang, Cummins’ Global Vice President, frequently consults Lin Weiyi regarding the company’s development in China. Despite more than three decades of presence in the market, few realize that Cummins’ early foothold in China was largely due to Lin Weijun, an early graduate of Tsinghua University. Lin Weizhen, born in 1917, graduated from Tsinghua University in 1939 with a degree in mechanical engineering and worked in various research institutions before joining Cummins in 1968 as a senior technical consultant. In 1973, he was appointed vice president for R&D, during which time Cummins began leveraging his Chinese expertise to plan its entry into the Chinese market. Through his connections and knowledge, Cummins quickly expanded its presence in China. In 1981, it started producing engines under license, and in 1995, it established its first Chinese joint venture. Today, Cummins operates over 20 institutions in China, including nine joint ventures and wholly-owned subsidiaries, with eight of its 14 engine families produced locally. Another key figure in Cummins’ Chinese operations is Sun Xiaobo, the current general manager of the East Asia R&D Center. Sun joined Cummins in 2004 and served as director of global technology planning. He is seen as a successor to Lin Weiyi, representing the next generation of Chinese executives at the company. With a doctorate in mechanical engineering from the University of Michigan and degrees from Wuhan University of Technology, Sun has a strong academic background. Prior to joining Cummins, he held leadership roles at Huachen Automotive Group, where he led the development of several world-class engine models with full intellectual property rights. Sun also worked as a chief scientist at Inco in California, focusing on alternative fuel engines. His involvement in the BMW Brilliance project negotiations further highlights his strategic importance. Cummins has consistently emphasized the value of Chinese leadership, with nine of the 13 top executives in East Asia being Chinese, including the CFO and the general manager of one of the company’s largest engine factories. Unlike many multinational companies in China, Cummins has been bold in promoting Chinese talent to senior positions. According to a headhunting expert, many foreign firms in China tend to favor executives with backgrounds in Taiwan, Hong Kong, or Singapore, making it difficult for mainland-born managers to reach the top. However, Cummins has broken this norm, partly due to the influence of early Chinese leaders like Lin Weiyi. An insider noted that “negotiating with Chinese state-owned enterprises using methods from mature markets in Europe and the U.S. often fails to address the unique characteristics of the Chinese market and its policies.” Chinese executives have played a crucial role in bridging this gap, providing both strategic insight and frontline communication. This approach has helped Cummins achieve sustained growth, with revenue in China exceeding $1 billion for two consecutive years. China has now become Cummins’ fastest-growing overseas market. With its strong local leadership and deep understanding of the Chinese market, Cummins continues to solidify its position as a leading player in the region.

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