Donaldson Co. is well known for clearing the air. Now, it's trying to stretch its expertise into liquids, specifically diesel fuels.
The company is developing long-lasting fuel-filters for large trucks and farm, construction and mining vehicles.
It recently spent $3.5 million to renovate and create a state-of-the-art liquid laboratory in Bloomington. And last month, it launched a free fuel "Filter Forensics Service" to help truck, tractor and construction fleet owners learn why their fuel filters clog, a common headache for truckers.
"We'll be taking customers' clogged fuel filters and figuring out why it gummed up and had that trucker stalled on the side of the road," Sheila Peyraud, the company's chief technology officer, said in an interview.
Donaldson also introduced its new Select Fuel Filter and won $50 million in annual contracts from makers of "off road" construction vehicles and farm tractors and combines. It partnered with two state universities to study diesel fuels and launched a new website called MyCleanDiesel.
Over time, the fresh focus on fuel filtration is expected to add hundreds of millions to Donaldson's sales, which amounted to $2.4 billion last year.
By entering the world of diesel and biodiesel filtration, Donaldson will compete with Fleetguard Cummins, Dahl-Baldwin Filters and Parker Hannifin Corp. Research firm MarketsAndMarkets recently estimated that the global fuel-filter market is growing and should reach $12 billion by 2018.
Donaldson started filtering fuel just four years ago. It began with filthy diesel storage-bins and pipelines. Two years ago, it started making "after market" fuel filters for older trucks already on the highway. Soon it will fulfill filter orders for new "off road" vehicles. Next Donaldson wants to supply fuel-filters directly to factories making new "on-road" trucks, Peyraud said. It already makes mufflers and other parts for truck manufacturers.