Kenworth Truck Co. will build liquefied natural gas (LNG) powered trucks in Renton beginning next year.

The Kirkland-based subsidiary of Paccar Inc. (NASDAQ: PCAR) will build its Kenworth T800 LNG trucks using fuel system technology from Westport Innovations Inc. of Vancouver, British Columbia.

The Westport technology will be installed in the Cummins ISX 15-liter truck engine.

Kenworth and Westport previously teamed up to offer the LNG-powered Kenworth trucks in an aftermarket conversion process on trucks used by the ports of Los Angeles and Long Beach. Those California ports recently approved a $1.6 billion plan to replace nearly 17,000 heavy-duty trucks that serve the ports with LNG-powered vehicles by 2012.

Westport’s LNG fuel system, according to Kenworth, is the only alternative fuel technology eligible for financial support as part of the ports’ new program.

Kenworth Truck Company’s environmental-friendly and “green” commitment to producing aerodynamic, fuel-efficient trucks has helped reduce emissions, fuel usage and customer operating costs since it introduced the industry’s first truly aerodynamic truck, the T600A, in 1985. Building on this aerodynamic heritage, Kenworth’s latest models? the new T660 and T2000? were recently acknowledged as SmartWay eligible trucks by the U.S. Environmental Protection Agency (EPA). The SmartWay Transport Partnership is a collaborative voluntary program between the EPA and the freight industry. SmartWay eligible tractors offer a full aerodynamic package, including integrated roof fairings, fuel tank side fairings, tractor-mounted gap reducers, aerodynamic bumpers and aerodynamic mirrors, idle reduction technology readiness, and low rolling resistance tires. “SmartWay partners improve their energy efficiency, save money, reduce greenhouse gas emissions and improve air quality,” said Bob Christensen, PACCAR vice president and Kenworth general manager.

In addition to aerodynamic developments, Kenworth continues its industry-leading environmental efforts with its new, no-idle Kenworth Clean Power system and Kenworth medium duty hybrid-electric truck.

The Kenworth Clean Power cooling and heating system begins production this summer as an option for the Kenworth T660 with a 72-inch AeroCab? sleeper. “Customers with high idling time may receive as much as an 8% improvement in fuel economy by not idling, thanks to Kenworth Clean Power,” said Mike Dozier, Kenworth chief engineer. The system also includes high-output, low-current LED lighting and an enhanced sleeper insulation package that provides a significant advancement for energy efficiency in the trucking industry.

In 2008, Kenworth will begin production of medium duty hybrid trucks. The new Kenworth T370 Class 7 and T270 Class 6 models will be packaged with the hybrid option. Hybrid trucks offer significant potential, particularly in urban and utility applications, to improve fuel economy. The hybrid vehicles target a 30% improvement in fuel consumption combined with responsible environmental practices.

Kenworth recently received the prestigious 2007 Industry Innovation Award for alternative fuel trucks presented by the Alternative Fuel Vehicle Institute. The award honors companies that collaboratively identify solutions to help overcome obstacles to clean transportation alternatives. Kenworth received the alternative fuel industry’s top innovation award for the Kenworth T800 liquefied natural gas (LNG) truck.

The Kenworth “White Paper on Fuel Economy” focuses on aerodynamics, component specifications, advanced technology, route management, driver behavior, and proper maintenance. The electronic white paper is available on Kenworth’s home page (www.kenworth.com/FuelEconomyWhitePaper.pdf).

That kind of customer support, combined with Kenworth’s quality products, contributed to Kenworth’s reception of 2006 J.D. Power and Associates awards for “Highest in Customer Satisfaction for Over the Road Segment and Pickup and Delivery Segment Class 8 Trucks, and for Heavy Duty Dealer Service”* two years in a row.