President Kwon Oh-kap of Hyundai Heavy Industries (HHI)

Hyunai Heavy Industries has signed a deal with CNH Industrial (CNHI) to I to supply and market mini-excavators of less than six tons. (Photos: HHI)

Hyunai Heavy Industries (HHI) has teamed up with CNH Industrial (CNHI) to make a foray into the global mini-excavator market. The move is forecast to double HHI’s annual sales of mini-excavators. 

HHI forged a strategic alliance with CHNI to supply and market mini-excavators of less than six tons, HHI said on Sept. 11.

The agreement will allow HHI to supply mini-excavators to CNHI for 10 years. Under the deal, HHI will likely see its annual sales of mini-excavators double to 9,000 units. 

CHNI will be allowed to put on the global market mini-excavators from HHI under its brands  “Case” or “Holland.”

HHI will supply mini-excavators of five to six tons to CNHI under the OEM format. HHI will supply complete knock-down kits for mini-excavators of one to four tons to CHNI, which will reassemble them at the latter’s plant under a licensing deal. 

The companies agreed to jointly develop new excavator models.

CHNI is a global integrated transportation equipment maker of construction equipment, commercial vehicles, specially designed vehicles, agricultural machineries and engines. The company has 1,200 dealerships around the world. In particular, CHNI has a strong marketing network in the North Americas and Europe. 

HHI President Lee Sang-ki of Construction Equipment Business said, “This alliance has not only recognized HHI’s technological competitiveness on the glob al market, but also set up a foothold to expand the mini-excavator business by securing a stable supply of mini-excavators.” 

Meanwhile, HHI executives toured overseas construction sites during Korea’s Chuseok holiday in mid-September. 

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The Construction Equipment Division is widely recognized as an industry leader for its use of advanced ergonomic engineering and technology.

Backed by highly advanced factory automation, a zero-tolerance quality control inspection system, and innovative engineering, the division offers a wide range of construction equipment to satisfy our customers' needs.

The division started production in 1985, and now manufactures construction equipment including hydraulic excavators, wheel loaders, backhoe loaders, skid steer loaders as well as industrial vehicles.

The division markets and supports its products through 500 local distributors in 140 countries. The division also maintains nine global operation centers in the United States, Europe, India, Indonesia, Brazil, and China (Jiangsu, Shandong, Beijing).