HD Hyundai’s construction equipment division announced the launch of HD Construction Equipment, effective January 1, 2026. Previously operating under a three-company structure comprising HD Hyundai XiteSolution, HD Hyundai Construction Equipment and HD Hyundai Infracore, the division now aims to strengthen domestic and global business synergies through the new HD Construction Equipment, underscoring its ambition to advance as a leading global player. Each of the brands – HYUNDAI and DEVELON - will be maintained and operated under a dual-brand system.   In particular, the company aims to:  - Enhance sales competitiveness through diversification of its global regional portfolio  - Drive engine business growth amid rising demand in the power generation and defense engine markets  - Improve manufacturing efficiency and strengthen supply chain competitiveness through organizational integration Accordingly, beginning in the new year, HD Hyundai’s construction equipment division will be led by two companies: HD Hyundai XiteSolution, which serves as an intermediate holding company focused on industrial vehicles, research and development, and components businesses; and HD Construction Equipment, Korea’s leading construction equipment company, with a strengthened full lineup spanning construction equipment, engines and related businesses. Photo. Chung Ki-sun, Chairman of HD Hyundai, delivering a congratulatory address at the “HD Construction Equipment Launch Ceremony” held at the Ulsan Campus. Next-Generation Models Accelerate Global Market Share Expansion This year, HD Hyundai’s construction equipment division is placing particular emphasis on expanding the global market share of the next-generation models launched last year. The next-generation models are smart excavators that made their global introduction at the 2025 Seoul Mobility Show in April last year, representing the culmination of HD Hyundai’s technological expertise and research and development capabilities. As the exhibition was previously better known as a motor show, the unveiling of the new models, along with the fact that a construction equipment company participated in the event for the first time in the industry, drew significant attention. At the mobility show, HD Hyundai delivered the message that construction equipment offers limitless possibilities for advancing mobility for humanity under the slogan “No Infrastructure, No Mobility,” underscoring the idea that the future of mobility cannot exist without infrastructure. In line with the exhibition’s official theme, “Mobility Everywhere, Forward Together,” HD Hyundai participated as an industry-leading construction equipment company and presented its vision for the future. Operating two different brands, HD Construction Equipment utilized the mobility show to unveil the new models: a 40-ton excavator under the HYUNDAI brand and a 24-ton excavator under the DEVELON brand. The significance of these launches was further underscored by the fact that the new models are smart excavators equipped with advanced technologies, including a full electro-hydraulic (FEH) system, representing the first products developed to compete directly with leading global brands. Following their initial launch in Korea, HD Hyundai continued to showcase the next-generation models on the global stage throughout last year. In April, at bauma in Germany, one of the world’s three largest construction machinery trade fairs, the two companies held unveiling events for the new models at their respective booths. After successful introductions at home and abroad, HD Hyundai Infracore delivered the first unit of a next-generation model in May. Although less than a year has passed since the initial launch, approximately 100 units of the next-generation models have already been sold across domestic and European markets. Building on this momentum, HD Hyundai plans to further expand its presence in North America by showcasing the next-generation models at CONEXPO, another of the world’s three largest construction machinery trade fairs, to be held in Las Vegas in March. Photo. A panoramic view of the HYUNDAI and DEVELON booth at bauma 2025 Enhancing Customer Satisfaction Through Platform Sharing and Advanced Technologies One of the most notable aspects of the next-generation models is that HD Construction Equipment’s two brands, HYUNDAI and DEVELON, use a shared platform. While platform sharing is common in the automotive industry, it is not yet widespread in the construction machinery sector. The models unveiled at the mobility show likewise share a common platform, yet are differentiated to align with each brand’s customer base and market demands. A key highlight of the new models is the integration of a FEH system, which significantly enhances their smart functionality. Whereas conventional equipment relied on hydraulic joysticks and pedals, the next-generation models use electronic signals and are equipped with an Edge Cloud Computing system that enables remote software updates. This allows for more precise operation and customized control, maximizing work efficiency across a wide range of operating conditions. In addition, a wide range of smart construction machinery technologies has been integrated to enhance productivity, safety, and operational convenience. To improve productivity, features such as Machine Guidance, which provides guidance on work depth and inclination, and Machine Control, which manages equipment positioning and movement, have been implemented. PHM (Prognostics and Health Management) technology further enables early detection of equipment abnormalities and predicts component lifespan, helping to maximize equipment uptime. In terms of safety, the models are equipped with a Smart Detection System and Advanced Lift Assist. The Smart Detection System utilizes 360-degree cameras, wide-angle radar sensors and AI-based object recognition technology to detect and alert operators to people or objects in the vicinity of the equipment. It can identify potential hazards within approximately a 330-degree field of view and a radius of 6 meters from the machine. Advanced Lift Assist measures ground slope and attachment weight in real time and displays the equipment’s rollover risk on the instrument panel, helping operators recognize and prevent potential tipping during operation. Convenience has also been enhanced for operators who spend extended hours inside the cabin. Both companies have adopted ergonomic cabin designs and improved control operability. Noise reduction and vibration mitigation technologies have also been applied, providing a more comfortable operating environment optimized for equipment performance. A suite of advanced technologies, including Breaker Assist and a Weighing System, has also been introduced, further enhancing operational efficiency and ease of use. With these innovations, the equipment is positioned to deliver smarter, more intuitive performance for customers across both domestic and global markets. Xite Transformation: A Vision for a Sustainable Future The next-generation models unveiled by HD Hyundai represent the first step toward realizing the Group’s construction equipment vision, “Xite Transformation.” Introduced at CES 2024, this initiative highlights the critical role of construction in building the infrastructure that underpins industries and society, while presenting a new vision for sustainable site innovation. The vision centers on the use of advanced technologies, including automation and autonomy, digital twins, and eco-friendly electrification, to create construction sites that transcend the limitations of time and space, ultimately contributing to a better quality of life for humanity. At CES, HD Hyundai also unveiled its vision for the excavator of the future with the introduction of an unmanned model. Designed without a cabin, the concept machine performs tasks autonomously using radar sensors and advanced monitoring systems, while ensuring safety by removing operators from hazardous work environments. Although still in the pre-commercial stage, the company has been developing unmanned excavator technology since 2019 and has steadily refined it through a series of domestic and international demonstrations, including Concept-X and Concept-X2. Looking ahead, HD Hyundai plans to take the next step in advancing its vision by building on the product expertise and R&D capabilities accumulated within its construction equipment division. Through these collective strengths, the company aims to introduce next-generation models that evolve across multiple dimensions, strengthen its position among leading global players in the construction equipment sector, and contribute to a more sustainable future, ultimately setting a new benchmark for the industry worldwide. Photo. Panoramic view of the HD Hyundai booth at CES 2024 in Las Vegas under the theme

▶ HD Hyundai Construction Equipment and HD Hyundai Infracore post sales of KRW 3.7765 trillion and KRW 4.5478 trillion, respectively, in 2025 ▶ Rising demand in emerging markets and growth of the engine business … recovery in global market conditions anticipated ▶ “Continuous growth to be driven by strengthening integrated synergies and region-specific sales strategies” On February 6 (Fri.), HD Construction Equipment announced its fourth quarter and full-year performance for 2025, reflecting the pre-integration performance of HD Hyundai Construction Equipment and HD Hyundai Infracore. HD Hyundai Construction Equipment recorded sales of KRW 3.7765 trillion and an operating profit of KRW 170.9 billion in 2025. While the company’s sales increased by 9.8% compared to the previous year due to the upswing of emerging markets, including Africa, and increased sales in developed markets, its operating profit decreased by 10.3% compared to the previous year, reflecting one-time expenses such as the restructuring of the China business. In particular, noticeable growth was observed in emerging markets as well as in Europe and China. In emerging markets, sales increased by 21% compared to the previous year, driven by continued mining and infrastructure development. Sales in Europe and China also grew by 18% and 26%, respectively, boosted by improving demand. HD Hyundai Infracore recorded sales of KRW 4.5478 trillion and an operating profit of KRW 286.4 billion last year. Its annual sales compared to the previous year increased by 10.5%, while its operating profit increased by 55.5%, a significant improvement driven largely by higher sales, increased selling prices, and reduced promotional expenses. When examining each business segment, the construction equipment segment saw the growth in sales driven by increased infrastructure investment and resource development demand in emerging markets, particularly in Central and South America and Africa. Sales in developed markets, including North America and Europe, increased compared to the previous year supported by economic recovery and base effect, while sales in China rose by 56% due to the impact of business restructuring.  The engine segment also maintained steady growth, supported by balanced growth in demand across product categories, including generators, defense, and vehicles. The company achieved sales of KRW 1.3264 trillion in the previous year, and recorded an operating margin of 14.3%, marking 3 consecutive years of double-digit operating margins. In addition, increase in sales is anticipated to be driven by the new engine plant in Gunsan, which will be completed this year. An executive of HD Construction Equipment said, “We aim to strengthen our integration synergies and region-specific sales strategies in line with the recovery in global market conditions. We will also secure competitiveness in future technologies to promote sustained growth, while doing our utmost to diversify our revenue sources, with a focus on the aftermarket (AM), engine, and compact equipment businesses, which have high growth potential.”  

▶ Chairman Chung Kisun attends high-level roundtable at Prime Minister Modi's invitation ▶ Cooperation spans commercial and naval shipbuilding and port crane projects; joint shipyard development to be pursued ▶ "India is a key pillar of our overseas production diversification strategy, poised to become HD Hyundai's new growth engine" HD Hyundai Chairman Chung Kisun met with India’s Prime Minister Narendra Modi to discuss expanding bilateral cooperation in shipbuilding. HD Hyundai said Chairman Chung Kisun and HD Korea Shipbuilding & Offshore Engineering CEO Kim Hyungkwan attended the high-level roundtable on Wednesday, January 28, hosted by Prime Minister Modi at the Prime Minister’s official residence in New Delhi. The high-level roundtable was held as part of India Energy Week 2026, bringing together about 30 participants, including Prime Minister Modi, ministers from relevant Indian government bodies, heads of state-owned enterprises, and chief executives of global companies, to discuss avenues for cooperation. During the meeting, Chairman Chung expressed appreciation for the Prime Minister's strong commitment to fostering the shipbuilding industry and asked for continued interest and support for HD Hyundai's ongoing collaborative initiatives with India. "HD Hyundai continues to maintain close collaborative relationships with India across a wide range of areas," Chairman Chung said. "India is a key pillar of our strategy to diversify overseas production bases, and I am confident it will serve as a new engine of growth for HD Hyundai." To take part in the Indian government's Maritime Amrit Kaal Vision 2047 initiative, HD Hyundai signed a memorandum of understanding in July last year with Cochin Shipyard, India's largest state-owned shipbuilder, agreeing to cooperate across multiple areas, including design and procurement support, productivity improvements, and workforce capability development. More recently, HD Hyundai expanded its collaboration with Cochin Shipyard to include naval vessels. It has also accelerated its entry into the Indian market by signing an exclusive MOU with the government of Tamil Nadu to jointly build a shipyard and advance crane business cooperation with state-owned BEML. India has also shown strong interest in strengthening cooperation with HD Hyundai. In November last year and again in January this year, Hardeep Singh Puri, India's Minister of Petroleum and Natural Gas, and T. R. B. Rajaa, Tamil Nadu's Minister for Industries, respectively, visited South Korea to tour HD Hyundai's Global R&D Center and HD Hyundai Heavy Industries' Ulsan shipyard and discuss ways to deepen cooperation with the group. * Photo reference: The Official Website of the Prime Minister of India