▶ Lands a KRW 390 billion deal with a U.S. power infrastructure firm to supply gas power generation engine long blocks.
▶ Demonstrates engine technology and reliability for data centers requiring continuous, long-duration operation.
▶ Accelerates expansion into the fast-growing generator market leveraged by its newly built Gunsan engine plant.

HD Construction Equipment is enhancing its engine business by participating in a project aimed at providing electricity to data centers.

HD Construction Equipment announced on October 7 that it has secured a KRW 390 billion contract with ERock, a U.S. power infrastructure solutions provider, to supply gas power generation engine long blocks. The two-year agreement will run from 2027 to 2028.

The ordered products are high-efficiency gas engine long blocks in the 22-liter class. Supplied as a semi-finished engine body without the fuel and ignition systems, it will be used by the customer to manufacture generator sets. These solutions are designed to provide stable power to hyperscale data centers operated by major US tech giants.

This contract marks a major milestone for HD Construction Equipment, securing its foothold in the booming North American data center market. By winning this supply agreement for large-scale, continuous-power engine long-blocks, the company capitalizes directly on the AI-driven demand. Industry analysts note that amid a surge in demand for continuous power due to data center grid connection delays, the deal successfully proves the technological capability and reliability of the company's long-block engines required for prolonged operation.

HD Construction Equipment plans to aggressively target the power generation engine market for data centers, starting with this recent order. Centered around its new Gunsan engine plant scheduled for completion at the end of this month, HD Construction Equipment will establish a production system for ultra-large power generation engines ranging from 1 to 3 MW. The company aims to meet the demand for high-output power generation engines by sequentially releasing a 37-liter class (1.5 MW) engine in 2027 and a 77-liter class (3 MW) engine in 2028.

According to global market research firm Dell'Oro Group, global data center capital expenditure (CAPEX) is projected to surpass a cumulative $3 trillion (approx. KRW 4,000 trillion) by 2030. In line with this trend, Fortune Business Insights expected the global data center generator market to grow at an average annual rate of 8.4%, rising from $10.34 billion (approx. KRW 14 trillion) in 2026 to $19.72 billion (approx. KRW 27 trillion) by 2034.

An official from HD Construction Equipment stated, "This order represents a significant achievement that acknowledges our engine technology in the data center power market, which is a new area of growth. We will continue to expand our presence in the global data center and distributed power markets in the future."