AGCO and Deutz have just agreed on a new long-term strategic partnership which the manufacturers say establishes supply security, predictability and reliability for both companies and their customers.

The partnership includes a supply agreement for updated 6.1l and 4.1l engines to be used in selected Fendt tractors. The partnership also includes development co-operation on future technologies.

In addition, it is understood AGCO and Deutz will explore closer co-operation on engines or engine installation components below 150hp.

Chair, president and CEO of AGCO Eric Hansotia explained: “The coronavirus pandemic and its related impact on world commodity flows and global supply chains has reinforced the importance of strong, co-operative relationships with suppliers.

“Deutz has been a trusted partner for years and we look forward to continuing to strengthen our relationship,” he added.