Which aftermarket services do you provide customers?

We do overhauls and routine maintenance for our customers. We currently have more than 100 Customer Value Agreements (CVAs) that help us provide greater support for our customers like fluid analysis and training. We truly are a local dealer that understands this region and can provide a high level of expertise for our customers.

Why is the port of Xiamen important to your region and your customers?

The port of Xiamen is a critical waterway, ranking as the eighth largest port in China. It handles millions of tons of cargo every year and is home to the top 20 shipping companies in the world. Our customer Xiamen Port Shipping Co. Ltd. operates 20 tugboats and fireboats in the harbor with Caterpillar engines on eight of the vessels.

How long has CEL been working with Xiamen Port Shipping?

Xiamen Port Shipping first purchased a Caterpillar engine in 1995, but relied on their internal team to service the mechanical engines. They had a more traditional do-it-myself culture. But when they upgraded to electronic engines, Xiamen Port Shipping turned to CEL for help managing maintenance and costs.

Why did Xiamen Port Shipping buy a high-speed engine for their tug application in 2015?

We held a Cat Care meeting for the region to present Caterpillar’s offering, and Xiamen Port Shipping members attended. They were impressed by Caterpillar’s ability to overhaul engines quickly and service in-region, as well as our technology capabilities and training. After the meeting, they wanted to explore new engine options with us. We sold them a Cat 3516C engine in 2015 and developed a customized CVA for their business.

What were the biggest challenges for Xiamen Port Shipping?

Xiamen port is very busy, so uptime is critical. The customer’s objective was to limit the downtime of its tug fleet as much as possible in order to optimize the cargo vessels coming in and out of the port.

How did you address Xiamen Port Shipping’s concerns?

A unique way we addressed the customer’s concerns of cost and downtime was with an oil change interval extension study. We wanted to see how long their engines could operate before needing an oil change without lessening performance.

We looked at the quality of the engine oil, the engine load factor, diesel quality, their preventive maintenance practices and contamination control measures, in addition to historical trends from Cat S•O•S^SM Fluid Analysis.

What were the conclusions of the study?

Based on all of the data from testing at each stage, we determined that the customer could extend oil change intervals on their Cat 3500 engine without sacrificing performance.

How did this impact Xiamen Port Shipping?

Extending the oil change interval reduced maintenance costs by nearly 33%, improved uptime by 15 days and reduced waste oil by 7.7 tons every year. The customer has reported no engine-related issues or failures since extending the interval.

What is your relationship like with Xiamen Port Shipping now?

Xiamen Port Shipping continues to renew its CVA with us annually. We now use this study as an example of Caterpillar capabilities and we’ve since signed CVAs with a number of government entities and private companies in the region. Chinese customers used to view Caterpillar as expensive and slow, but now they view us as a trusted partner who can save them money and get work done fast.

What is the value a local Cat dealer brings to a customer?

The advantages of working with a Cat dealer are the knowledge, expertise, technical training and local service we bring to every job. We live and work in the area, so we understand their business and speak the customer’s language.

How has your relationship with Xiamen Port Shipping impacted Caterpillar’s reputation in the region?

Since working with Xiamen Port Shipping, the perception of Caterpillar and maintenance has shifted. Customers now have a more modern view on maintenance, looking at the condition of the entire vessel and not just the engine. More customers in this region are relying on Caterpillar for aftermarket services and expertise.