Cummins CEO Advocates for Hydrogen in Company Strategy
Key Ideas
  • Cummins CEO Jennifer Rumsey emphasizes the importance of hydrogen in the company's strategy to convert renewable energy into fuel and address transport needs.
  • The company is investing in hydrogen engines for heavy-duty trucks, as batteries are considered too expensive and heavy for this purpose.
  • Cummins aims to utilize hydrogen as a way to store renewable energy effectively and transport it to various locations where fuel is required for operations.
  • Despite acknowledging that hydrogen development may take time, Cummins is advancing technologies for hydrogen-based solutions in its engines and fuel cells.
In a recent interview with CNBC's Jim Cramer, Cummins CEO Jennifer Rumsey highlighted the key role hydrogen plays in the company's strategy. She emphasized the need for hydrogen as a solution to convert renewable energy into usable fuel and ensure its availability for transportation purposes. Cummins, a manufacturer of engines and power-generation products, is focused on reducing carbon emissions, with hydrogen identified as a promising alternative energy source. Rumsey explained that hydrogen offers a way to store renewable energy efficiently and transport it where needed. The company is specifically looking into hydrogen engines for its HELM platform, targeting higher efficiency, lower emissions, and versatility with multiple fuels. Rumsey mentioned that investing in hydrogen engines is crucial for scenarios where batteries are impractical due to cost and weight concerns, especially for heavy-duty trucks. While recognizing the developmental timeline for hydrogen technologies, Cummins is actively working on incorporating hydrogen engines and fuel cells. The company reported strong earnings, surpassing Wall Street expectations and reaching a new 52-week stock high, reflecting positive market reception to its strategic emphasis on hydrogen and technology advancement.
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