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Cummins (NYSE:CMI) said Thursday it was awarded a $75M federal grant to convert 360K sq ft of existing manufacturing space at its Columbus engine plant in Indiana for zero-emissions components and electric powertrain systems.
Cummins (CMI) said the grant, which is part of the appropriations related to the Inflation Reduction Act, is the largest federal grant ever awarded solely to the company.
The company said it will match the grant and spend $75M for a total of $150M to convert the space and expand production of battery packs, powertrain systems and other battery electric vehicle components for Accelera by Cummins, the company’s zero-emissions business segment.
Separately, Brazilian miner Vale (VALE) said it will partner with Cummins (CMI) and Japan’s Komatsu (OTCPK:KMTUY) (OTCPK:KMTUF) to develop and test low-emission haul trucks powered by a mixture of ethanol and diesel.
Vale (VALE) said dual-fuel engines made by Cummins (CMI) will be retrofitted to the mining company’s existing fleet of diesel-powered haul trucks, making them capable of using up to 70% ethanol and reducing direct CO2 emissions by as much as 70%.