Sweden-based Concentric AB has recently received an order from an unnamed manufacturer of heavy trucks and buses to produce Electro Hydraulic Steering (EHS) units for their hybrid applications, according to a press release.

Production is expected to begin in the last quarter of 2016, reaching mature volumes in 2018, which will likely generate annual revenues of around SEK 15 million (USD1.8 million) across Europe.

Significance: Concentric’s EHS system is an effective solution for hybrid vehicle applications where the normal power steering pump cannot function when the vehicle runs on all-electric mode. This is because the power of the pump comes from the conventional engine that is turned off during electric mode. The EHS unit has been jointly developed with an unnamed supplier of electric motors and was first launched at IAA 2014.

Concentric says the use of EHS system reduces energy consumption up to 50% in certain applications. Moreover, it also reduces installation costs as the EHS system is typically placed close to the steering gear.