Cummins Inc. , an engine maker based in Columbus, Ind., has formed a joint venture with Grupo Laeisz to distribute and service Cummins engines, generators and parts in a region that includes Costa Rica, El Salvador and Honduras.
The joint venture will be called Cummins Centroamérica, according to a news release Wednesday.
Laeisz has been a Cummins distributor in Honduras for more than 40 years, with subsequent expansion into El Salvador and Costa Rica, the release said. The joint venture will include Cummins brands as well as products from Ingersoll Rand Air Solutions Group, which are considered complementary and noncompetitive with Cummins lines.
Laeisz will continue to sell other brands that are noncompetitive with Cummins or the joint venture under their existing business, though all facilities will bear the Cummins brand.
Pamela Carter, president of Cummins Distribution, said in the news release that the joint venture “creates the foundation for both partners to significantly expand in the equipment market in Central America, where strong, steady growth is projected.”
Cummins (NYSE: CMI) has about 44,000 employees worldwide and serves customers in about 190 countries and territories.
