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Kandy Wong

Sinotruk (Hong Kong), the mainland's third-largest heavy truck maker, will start developing engines that meet  tighter  emission standards by the end of the year to capitalise on the higher selling prices  for more environmentally friendly products.
'We plan to finish the research and development work for the parts meeting National IV emission standards in two years' time,' said chairman Ma Chunji.
The company plans to invest 100 million yuan (HK$114.4 million)  after spending 280 million yuan to develop engines to meet National III emission  standards.
'As  parts for the two standards share some similarities, we don't need to pour a huge amount of money  into development,'  said Mr Ma.
Shandong-based Sinotruk started to develop  National III-compliant engines  in 2005,  launching them in the market early this year.
According to the company's figures, the price for a heavy truck with 'green'  technology can be 60 per cent higher than  a 20-tonne National II-compliant heavy truck, which is priced  between 220,000  and 230,000 yuan.
A Standard & Poor's report said mainland-made heavy trucks cost  about one-third to one-fifth the price of  trucks from international makers, partly  because of  their lower horsepower  engines.
'The engine is the heart of a vehicle. Advanced technology  in the motor and transmission box makes the vehicle more valuable,' Mr Ma said.
Mainland emission standards are equivalent to those of the European Union. European emission standards  were established in 1992, setting  benchmarks for  emissions of nitrogen oxide, hydrocarbons and carbon monoxide.
Beijing requires all vehicles to meet National III standards  this year.  Implementation  was delayed by  a year  because of an inadequate supply of engines and  a suitable grade of petrol.
'We don't know whether the delay to  National III  will  lead to  a postponement of National IV  standards, but we'll certainly start research and development work,' Mr Ma said.
The central government plans to implement National IV  by 2010,  when  Europe will enforce  Euro V.



Sinotruk lines up greener, higher-priced engines