HD Hyundai Construction Equipment and HD Hyundai Infracore officially merged on 1 January 2026 to establish HD Construction Equipment, with Moon Jae-young serving as the first president. The launch ceremony was held by HD Hyundai at its Ulsan campus.
The merger is said to have created Korea’s largest comprehensive construction machinery firm (HD Construction Equipment), with annual sales of 8 trillion won. The company operates production facilities in Ulsan, Incheon and Gunsan, as well as in various international locations, including India, China, Brazil and Norway.
HD Construction Equipment now aims to achieve sales of 14.8 trillion won by 2030, a 95% increase from 2024. As of 2025, it is ranked 14th globally. The company will focus on growth across all business areas, with particular emphasis on its core construction equipment sector, its highly profitable engine business, and aftermarket (AM) services.
Specifically, HD Construction Equipment intends to leverage synergies between its two construction equipment brands, Hyundai and Develon, to establish them as globally recognised top-tier brands.
To achieve this, the company will establish a global production system that enhances the benefits of a dual-brand strategy while maintaining world-class production competitiveness.
Accelerating market penetration
The rollout of the next-generation model will be key to expanding global market share, revealed HD Construction Equipment. Following successful launches in Korea and Europe, it is set to debut in North America during the first half of 2026. This next-generation model is a smart excavator that delivers improved fuel efficiency and productivity, equipped with an advanced full electro-hydraulic (FEH) system.
HD Construction Equipment also plans to significantly improve the cost competitiveness of its next-generation model. This will be achieved by minimising overlap in product lineups, focusing on each brand’s flagship products, and leveraging economies of scale in shared costs such as procurement and logistics.
By leveraging its sales and A/S networks, the company aims to accelerate market penetration. Additionally, it plans to identify new growth opportunities by expanding its engine business into sectors such as power generation, defence and eco-friendly energy sources, while also developing its compact construction equipment line to meet the demands of advanced markets, ensuring balanced growth.
At the launch ceremony, HD Hyundai chairman Kisun Chung encouraged the newly integrated company to take the lead in the industry. “I anticipate that HD Construction Equipment’s relentless pursuit of excellence will facilitate its entry into emerging markets and drive the development of next-generation models,” he said. “By restructuring production, quality and global sales, we aim for you to become our next ‘Global No. 1,’ following the success of our shipbuilding business.”
