Cummins Hikes Prices on Diesel Generators

The price of diesel generators from Cummins Power Generation (CMI) is going up. Cummins said today that it will raise prices by 2 to 7 percent on commercial generator set products between 15 kW and 2700 kW as of Jan. 1, 2009. The company cited “rising commodity and fuel prices as well as the consequence of the current industry dynamics.”

The data center building boom has created backlogs for the large generators that provide emergency backup power, with some facility operators reporting lengthy delays on new units of the most popular 2 megawatt models. With its core market of truck sales lagging, Cummins has benefited from record sales of generators, supported by strong demand from the data center sector.