Yanmar Co., Ltd. (hereafter "Yanmar") and Yamaha Motor Co., Ltd. (hereafter "Yamaha") announced on August 4 that they have agreed to a business alliance for the U.S. ROV (recreational off-highway vehicle) business. The companies will conclude a contract by the end of the year for the OEM supply of Yamaha's multipurpose "VIKING" and "VIKING VI" (both Yamaha model names) ROV models to Yanmar from December 2016, and for Yanmar to sell these products under the Yanmar brand name from January 2017 utilizing its farmer-oriented dealer network in the U.S.

The aim of this business alliance is to expand sales in the growing U.S. ROV market by leveraging the strengths of the two companies, namely Yamaha's technical capabilities and manufacturing know-how, and Yanmar's farmer-oriented dealer network in the U.S.

The two companies share the same values of creating and developing markets through "monozukuri" (engineering, manufacturing and marketing), and have previously worked together in the fields of industrial-use unmanned helicopters, generators and snow blowers.

Demand for ROVs in the U.S. market has been increasing in recent years, and they are used for a variety of applications, from practical work such as agriculture and dairy farming to leisure-oriented purposes. To meet the needs of this market, in 2013 Yamaha launched the "VIKING," a 3-seater multipurpose model which provides practicality, easy handling and comfort, and in 2014 launched the "VIKING VI," a 6-seater model which delivers high-grade driving performance and comfort for a large number of passengers. Yanmar has for many years supplied just diesel engines and drive units to the U.S. agricultural transportation vehicle market (including ROVs). Through this business alliance, Yanmar is taking the next step toward entering the ROV product sales field.

The two ROV models to be supplied on an OEM basis by Yamaha to Yanmar feature an exterior design refreshed to Yanmar specifications through new coloring and graphics, and will be sold under the Yanmar brand and model name as new gasoline engine-powered products. Manufacturing will be carried out in the state of Georgia by Yamaha Motor Manufacturing Corporation of America.

Outline of Yamaha

Company name: Yamaha Motor Co., Ltd.

Headquarters: 2500 Shingai, Iwata, Shizuoka Pref., Japan

Founded: July 1, 1955

Representative: Hiroyuki Yanagi, President, CEO and Representative Director

Capital: 85,782 million yen

Employees: 53,306 (Yamaha Motor Group consolidated basis; as of December 31, 2015)

Business activities: Manufacturing and sale of motorcycles, scooters, electric power-assisted bicycles, boats, water vehicles, pools, Japanese-style boats, fishing boats, outboard motors, all-terrain vehicles, recreational off-highway vehicles (ROVs), engines for racing carts, golf cars, general-purpose engines, generators, water pumps, snowmobiles, compact snow blowers, automobile engines, surface mounters, industrial robots, industrial-use unmanned helicopters, electrical power units for wheelchairs, helmets for road use, etc.

Net sales: 1,615,400 million yen (consolidated basis, for 2015 fiscal year ended December 31)

Outline of Yanmar

Company name: Yanmar Co., Ltd.

Headquarters: 1-32, Chayamachi, Kita-ku, Osaka, Japan

Founded: March 22, 1912

Established: January 28, 1936

Representative: Takehito Yamaoka, Representative Director, Chairman and President

Capital: 6,300 million yen

Employees: Approx. 18,000 (Yanmar Group consolidated basis; as of March 31, 2016)

Business activities: Research, development, manufacturing, and sale of small engines, large engines, agricultural machinery and facilities, construction equipment, energy systems, marine equipment, machine tools and components, etc.

Net sales: 703,800 million yen (consolidated basis, for 2015 fiscal year ended March 31, 2016)