Ying Si

Ying Si of CICC inquired about the future business outlook for high-horsepower (HPP) engines, particularly in light of Caterpillar's reciprocating generators for data centers, and whether Yuchai possesses natural gas engine products and technologies to support this trend. Additionally, Ying Si asked about the sustainability of Yuchai's significant market share gain in truck and bus engines in 2025 and the 2026 outlook for the domestic truck and bus industry.

Answer

Kelvin Lai (General Manager of Operations) anticipates continued growth in HPP engines for data centers in 2026, though without specific figures. He confirmed Yuchai has natural gas engines for power generation (e.g., 16VC engine, 2MW) suitable for industrial applications, but current cost considerations in China/Asia limit their use for AI/data centers. Weng Ming Hoh (President) attributed the truck and bus engine market share gain to successful collaborations with major vehicle OEMs, with two partnerships coming to fruition in 2025, particularly in the heavy-duty truck segment, and expects this growth to continue into 2026.

Ying Si asked about Yuchai's perspective on Caterpillar's announcement regarding reciprocating generators for data centers and whether Yuchai has natural gas engine products and technologies to support this trend. She also inquired about the sustainability of Yuchai's significant market share gain in truck and bus engines in 2025 and the outlook for the domestic truck and bus industry sales in 2026.

Answer

Kelvin Lai, General Manager of Operations, expects continued growth in high-horsepower engines for data centers in 2026. He confirmed Yuchai possesses natural gas engine technology (e.g., 16VC engine for 2MW power generation) but noted that current customers in China and Asia primarily use diesel for data centers due to cost considerations, with natural gas engines mainly for industrial applications. President Weng Ming Hoh attributed the market share gains in heavy-duty truck engines in 2025 to successful collaborations and certifications with two major vehicle OEMs, and he anticipates this growth trend to continue into 2026.