Can you tell us more about what is going on in the transport refrigeration market?
As the leader in this sector, we supply the largest transport refrigeration manufacturing companies in the world and we are seeing a huge uptick in business. Obviously with an increase in demand we want to constantly ensure that we are able to deliver superior products across the board. With testing, we have found that the competitor compressors don’t offer the same performance and value as our models.
What about bus? What is happening there?
Our QP25 compressor was introduced to the market about a year and a half ago and we are really seeing it take off—introducing innovative products can take time. The QP25 has the same footprint at the QP21 but provides about 18% more displacement on the compressor. So, in the United States for instance, this is a great option for places like Texas, Florida and other states that might be warmer and more humid than those further north. Same goes for India, we have had a lot of success with this product there with large companies like Tata Motors adopting the new design. For bus systems that are marginal, this product will be a key player. It’s a drop-in replacement for the QP21 or TM21.
Our strong financial position has allowed us to continue making aggressive investments in facilities, compressor programs and resources across the globe. What do you see coming down the pipeline?
Variable compressor has always been a mainstay of our business, but we are seeing it pick up quite a bit in the off-road and agriculture markets. Also, the new electric compressor is going to be huge. There is a lot of uncertainty in the market because of the lack of standardization—different customers requiring various voltages and displacements. But we are betting big on electric and making some incredible products—we recently put in a new electric compressor line at our Ningbo, China facility.
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