Today saw the completion of Hyundai Heavy Industries’ acquisition of Doosan Infracore, which could propel the combined business into the top ten global producers of construction equipment.
Doosan Infracore will join the new Hyundai Genuine group as a subsidiary. As a subsidiary, Hyundai Construction Equipment will also be included.
Hyundai, based in South Korea, and the construction-related companies of Doosan will both run separately, according to Doosan.
According to The Korea Herald, Hyundai paid 850 billion won ($722.5 million) for a controlling 30% share in Doosan.
All of Doosan’s construction machinery is included in the purchase, although Bobcat, which Doosan bought in 2007, is not. In 2018, the businesses of Doosan Bobcat and Doosan Infracore North America were split apart.
According to a press release from Doosan, the subsidiaries of Doosan and Hyundai will autonomously “develop together, complement each other, even compete in good faith in all areas, including technology, production, purchasing, sales, and quality.” “This will allow our company to grow and collaborate with other businesses run by the entire HHI group.”
A prior Doosan announcement notes that this acquisition is being carried out by Hyundai Heavy Industries Holdings and not Hyundai Construction Equipment (HCE). “The intention is for Doosan Infracore and HCE to function as independent businesses under HHIH, according to the conditions of the agreement. HCE and Doosan Infracore are not currently set to merge. Once the sale is completed, the employees, dealer networks, and brands of both companies will remain separate from one another.”
Doosan claims that it intends to concentrate on commercializing Concept-X, a technology that integrates information and communications technology with artificial intelligence, as well as developing other technologies like electric excavators, battery packs, and hybrid fuel cells.
“The two brands will work together as a global top player, bringing us a lot closer to realizing our objective of being a global top 5 player,” claims Doosan.
According to the 2021 KHL Yellow Table, Doosan now has sales of $7.1 billion and is ranked 10th internationally, whereas Hyundai has sales of $2.3 billion and is placed 22nd.
The sale was reached after Doosan Heavy Industries & Construction, the parent company of Doosan Infracore, tried to sell its construction division in order to pay off significant debts it had accrued. A legal disagreement with the minority owners of Doosan Infracore China has been one obstacle to the deal. According to The Korea Herald, the business recently repurchased a 20% stake in the Chinese subsidiary to resolve the conflict and open the door for the Hyundai sale.
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Excavators on wheels
Medium to large crawler excavators from Hyundai’s HX series have fuel-efficient fast cycle speeds, excellent hydraulic power, and precise control to provide power and adaptable construction equipment performance. We have excavation equipment that is constructed durable and equipped to handle any job, whether you need one for construction, digging trenches, holes, or foundations, road work, handling goods, installing pipe, moving soil, or dredging.
Its name is Hyundai Construction Equipment Co.
The Construction Equipment Division’s application of cutting-edge ergonomic engineering and technology has earned it recognition as an industry leader.
The division provides a broad range of construction equipment to meet the needs of our clients and is supported by extremely sophisticated factory automation, a zero-tolerance quality control inspection system, and innovative engineering.
The division began making construction equipment in 1985 and today produces industrial vehicles as well as hydraulic excavators, wheel loaders, backhoe loaders, and skid steer loaders.
In 140 countries, the division sells and supports its products through 500 local distributors. Nine worldwide operation centers are also maintained by the division in the United States, Europe, India, Indonesia, Brazil, and China (Jiangsu, Shandong, Beijing).
Doosan is purchased by Hyundai
It is now confirmed that Doosan Infracore was sold to Hyundai Heavy Industries Holdings Co.
Doosan Infracore and Hyundai Construction Equipment (HCE), two independent construction equipment firms operating under HHIH, are now affiliates of the recently established Hyundai Genuine (HG) group. To maximize the company’s efforts and concentrate on the construction equipment sector, HG will oversee both DI and HCE and serve as the intermediary company for the HHIH Group’s construction equipment operations. Together, the two companies will rank among the top 5 companies worldwide.
The strategy is to control overlapping investments and make significant investments in fields like upcoming technologies and innovation. Doosan Infracore will be putting in a lot of effort to commercialize Concept-X and create innovative goods like electric excavators, battery packs, hybrid fuel cells, and other items of the next generation.
On November 20, 2019, Doosan revealed Concept-X, an autonomous construction site solution. At the company’s testing facilities, multiple prototype machines including a drone, wheel loader, excavator, and articulated dump truck operated independently.
With the aid of 3D drone scanning, the terrain of a work site can be surveyed, operational plans can be made using the topographical data, and construction machinery like excavators and wheel loaders may be operated without the need for a human operator thanks to Concept-X.
On August 2, The Korea Herald reported that Doosan Infracore’s takeover by Hyundai Heavy Industries had received regulatory approval. The Korea Fair Trade Commission approved the merger because, in its opinion, it won’t reduce regional market competitiveness.
In order to strengthen its finances and pay off debts owed by Doosan Heavy Industries & Construction, Doosan Group first declared in 2020 that it was looking to sell its interests of the company. At the time, Hyundai was a leading contender. It was declared that Hyundai was the selected bidder in December 2020.
Hyundai agreed to buy a 35% stake in Doosan Infracore in February 2021; in April, its subsidiary Hyundai Genuine Co. gained ownership of that stake.
The Korea Herald reports that the deal’s approval by regulators will help Doosan Heavy with its corporate restructuring. The agreement will also assist Hyundai Genuine in expanding its market share in Korea and the international construction business.
About
Hyundai Construction Equipment Americas Inc. provides high-quality material handling equipment, such as electric, diesel, cushion, and internal combustion pneumatic forklifts, as well as earthmoving equipment, such as hydraulic excavators, wheel loaders, and skid steer loaders. Hyundai also recently unveiled their first series of hydraulic breakers as attachments. Hyundai’s North American headquarters and parts warehouse are located in Norcross, Georgia, so both dealers and customers routinely experience prompt order fulfillment.
The parent firm of Hyundai Construction Equipment, Hyundai Heavy Industries (HHI), has ingrained its idea of quality before and after the sale throughout all divisions. HHI has cutting-edge manufacturing facilities all over the world and makes significant investments in the R&D of construction equipment. Hyundai has received multiple Korean design awards for construction equipment and holds an ISO 9001 certification.
Hyundai small excavators are made by whom?
The development of the brand-new vehicles will be done in conjunction with Hyundai Heavy Industries. When fully realized, the mini-excavator product range’s weight capacity will reach six tons.
What factory produces Hyundai excavators?
from China
To address the rapidly increasing demand for the machinery in China, Doosan Infracore completed the construction of an excavator factory on a 240,000m2 site in Suzhou, Jiangsu province, capable of producing 9,800 compact excavators annually.
The Hyundai excavator’s engine type.
One of the top companies in the world’s heavy industries is Hyundai Heavy Industries. Pumps, dry docks, air compressors, and excavators are just a few of the items that Hyundai Heavy Industries manufactures.
Mitsubishi engines are used by Hyundai in a large number of the excavators. The 17-ton Hyundai R170-7A excavator is heavy. The D04FD-TAA, a four-cylinder turbo-diesel aftercooler, which powers the R170-7A is designed for power, dependability, and fuel efficiency. The most recent EPA Tier 3 and EU level 3 emission regulations are met by this engine.
What size excavator does Hyundai produce?
The new Hyundai HX85A model is the first compact excavator produced by the firm to be a part of the A-Series of equipment and the first to have a HX model number. The HX85A, the largest of Hyundai’s compact excavator models, bridges the gap between the compact and full-sized models in the excavator product line as a whole. It has an engine that is Tier 4 Final, which offers outstanding performance and lower fuel consumption. You’ll value this machine’s substantial power, sturdiness, and dependability as well as its capacity to operate effectively in small places.
Who produces Hyundai machinery?
Hyundai Motor Company, which together with Kia makes up the Hyundai Kia Automotive Group, produces automobiles under the Hyundai brand. With its main office in Seoul, South Korea, Hyundai runs the largest integrated automobile manufacturing facility in the world, Ulsan, which has the capacity to produce 1.6 million vehicles yearly. About 75,000 employees work for the organization globally. Through around 6,000 dealerships and showrooms globally, Hyundai vehicles are sold in 193 different countries. Hyundai sold more than 4.4 million cars worldwide in 2012. The mid-sized sedans Sonata and Elantra are popular choices.
Asan Medical Center and six other hospitals are the main recipients of funding from the Asan Foundation, which Chung Ju-yung founded in 1977 with 50% of Hyundai Construction’s stock. The organization has supported academic studies into traditional Korean culture and seminars on Eastern ethics. It started the annual Filial Piety Award in 1991.
Who is the manufacturer of Kobelco excavators?
A subsidiary of Kobe Steel, Kobelco Construction Machinery America, LLC is a manufacturer of excavators with headquarters in Houston, Texas, and a manufacturing facility in Moore, South Carolina. In December 2012, Kobe Steel and CNH Global dissolved their previous global sales partnership.
Who constructs Case diggers?
Case Construction Equipment is a brand of CNH, together with CASE IH. Excavators, motor graders, wheel loaders, vibratory compaction rollers, crawler dozers, skid steers, and compact track loaders are among the construction machinery made by Case.
Doosan excavators are manufactured where?
Since the business joined the construction equipment industry in 1978, Doosan Infracore North America LLC has produced more than 400,000 excavators and wheel loaders for markets across the world.
Doosan has a long history of manufacturing dating back to 1937. The first large-scale machinery plant in Korea was established in Incheon, South Korea, and was then known as Chosun Machine Works. Manufacturing at the facility included mining equipment, casting, and cast steel. Doosan started producing marine diesel engines in 1958.
The DH series of crawler excavators were first manufactured and shipped by Doosan in 1978 at its newly constructed excavator manufacturing facility in Incheon. The business kept improving their excavators and introduced the new Solar series in 1985. The business generated more than 10,000 units in just two years.
The business started making the DL series wheel loaders in the beginning of the 1990s. Wheel loaders from the Mega series and excavators from the Solar-III series were first presented by Doosan in 1992 and 1993, respectively. Another significant excavator milestone was reached in 1993 with the production of 30,000 machines. Doosan first entered the North American market in 1994.
In the middle of the 1990s, the business continued to produce excavators and wheel loaders. Wheel loaders from the new Mega-III series were introduced in 1996. Doosan introduced the Solar-V series of excavators in 1997, and the business was awarded ISO14001 certification. Doosan produced 50,000 excavators two years later.
When Doosan Infracore placed sixth globally in the construction machinery industry in 2016, it marked a significant accomplishment. On June 4, 2017, Doosan Infracore celebrated its 80th birthday, the day Chosun Machine Works was established. At Doosan facilities in South Korea’s Incheon and Gunsan, Doosan Infracore still makes its excavators and wheel loaders today. Doosan produces 11 wheel loader models, three wheel excavator variants, and 13 different kinds of crawler excavators. The business also manufactures material handlers and log loaders for use in recycling and forestry, respectively. Since 1974, Doosan has produced articulated dump trucks at its manufacturing plant close to Elnesvagen, Norway.
Who manufactures Link Belt excavators?
The Lexington, Kentucky-based LBX Company assumed exclusive production and marketing responsibility for Link-Belt excavators, forestry, and material handling equipment, and they started to concentrate all of its design efforts on innovative technologies to satisfy the demands of today’s consumers.
Does Hyundai produce heavy machinery?
Legacy. Hyundai Heavy Industries has been a global leader and solution supplier in the maritime, industrial, and energy industries since 1972.
What is the world’s biggest manufacturer of excavators?
Caterpillar The largest producer of construction equipment in the world, Caterpillar, has more than 300 machines in its product line, many of which are excavators of various sizes.