Vancouver-based Westport Fuel Systems, a supplier of alternative fuel systems and components for the transportation sector, has been chosen by an international OEM to supply its liquified petroleum gas (LPG) systems.
The supply agreement – estimated to generate €63m between 2025 and 2028 – is in addition to a previously announced agreement, adding Euro 7 vehicle platforms that the OEM is planning to produce. Through this previous agreement, Westport will supply LPG system solutions to the same OEM for its Euro 6 vehicle applications beginning Q4 2023. The combination of the Euro 6 and Euro 7 agreements will bring revenue generated by the deal to approximately €255m (US$280m).
“We are pleased to become the exclusive supplier of LPG systems to this leading OEM customer and look forward to continuing our commitment to deliver our LPG systems for their LPG-fueled vehicle platforms,” said David Johnson, chief executive officer of Westport Fuel Systems. “As a leader in providing a diverse portfolio of high-quality alternative fuel systems, we are driving cleaner performance and gaining market share, as LPG powered vehicles are a very affordable path to meet European regulations for lower emissions.”