New engine supply joint venture between Hyundai and Cummins

Hyundai Heavy Industries (HHI) and Cummins are setting up a joint venture to produce engines in South Korea for the earthmoving equipment market. The two companies are investing US$33 million each into the project, which will be called Hyundai Cummins Engine Company and will have its factory located in Daegu. Production is scheduled to commence in 2014, with capacity reaching 50,000 engines/year once the facility is fully commissioned.
September 26, 2012 Read time: 1 min
The strategic joint venture between Hyundai and Cummins for engine production in South Korea will provide business growth for both partners
236 Hyundai Heavy Industries (HHI) and 196 Cummins are setting up a joint venture to produce engines in South Korea for the earthmoving equipment market. The two companies are investing US$33 million each into the project, which will be called Hyundai Cummins Engine Company and will have its factory located in Daegu. Production is scheduled to commence in 2014, with capacity reaching 50,000 engines/year once the facility is fully commissioned. This factory will provide HHI with a steady supply of high quality engines that can be made available to meet market demands. Sales are expected to reach $282 million in 2014 and are predicted to grow, with a target of $3.53 billion set for 2022 by which time the plant should employ 5,300. HHI says that the new joint venture forms part of its plans to become one of the world’s top three manufacturers of construction equipment by 2016 on annual sales of $9.1 billion.

For more information on companies in this article

Related Content

  • ICEMA: makers of small equipment should consider the Subcontinent
    April 20, 2016
    $14 billion awarded in the national highway sector of which around $4 billion will be for small roads in rural areas. Makers of small construction equipment should take a closer look at the Indian market given the government’s focus on rural roads. During its bauma Forum presentation, Anand Sundaresan, president of the Indian Construction Equipment Manufacturers’ Association (ICEMA), said there is an urgent need for equipment suited to small projects. These include breakers and small pavers of around
    Read More
  • New East Africa highway connecting Kenya, Tanzania, South Sudan
    June 8, 2016
    East African countries continue to implement a road Master Plan developed jointly under the East African Community initiative and which aims at integrating the region’s transport corridors to meet the growing demand for road transport by the increasing intra-regional trade and vehicular traffic. Kenya has for example unveiled a US$280 million road rehabilitation project to improve its links with Tanzania and South Sudan with the backing of the African Development Bank (AfDB). Rehabilitation of the 172
    Read More
  • Road markings important for road safety
    February 20, 2012
    Manufacturers are constantly upgrading marking materials and equipment. Now those responsible for highways are being asked to do more as Patrick Smith reports. A recent report claimed that nearly one-third of the length of Britain's single carriageway A-roads have white lines so worn out that they do not meet recognised standards. According to the LifeLines Report, an assessment of more than 2,400km of the road network, Britain's most dangerous roads have the most worn-out centre line markings of all, leavi
    Read More
  • Road safety is an EU priority
    March 2, 2012
    The preparation of the new EU Road Safety Policy for the next decade will take place during Spain's presidency of the EU. Patrick Smith reports. An the past 10 years, half a million people have been killed on European Union roads, with road crashes costing an annual €160 billion or 2% the EU's GDP.
    Read More

Highlighted Content