HD Construction Equipment Signs 160 Billion Won Engine Deal

HD Construction Equipment secured a significant 160 billion won ($115.20 million) engine deal with Power Solutions International, a prominent North American power generation and engine solutions company. The contract, signed on November 10, pertains to the supply of 22-liter gas power-generation engine long blocks. A long block pertains to a semi-finished engine body sans fuel and ignition systems. The supply period spans two years, commencing in 2027.

This follows a recent 390 billion won ($280.80 million) contract signed with U.S. power infrastructure solutions firm EROCK. Power Solutions International will utilize the supplied engine long blocks to construct its power production systems. These back-to-back large-scale orders align with HD Construction Equipment's strategy to expand in the North American power infrastructure market.

The surge in AI industry and surging power consumption at data centers are driving demand for gas-fired power-generation facilities to ensure a stable electricity supply. HD Construction Equipment is accelerating its push into this market, capitalizing on the favorable outlook. According to Market Data Forecast, the North American generator market is projected to grow from $9.41 billion (12.7 trillion won) in 2026 to $13.02 billion (17.5 trillion won) in 2034, with a compound annual growth rate of 4.1%.

An HD Construction Equipment official stated, "Through consecutive supply contracts, we have demonstrated the technological capabilities and reliability of our engines," pledging to continue targeting the rapidly growing power infrastructure market and steadily expand their business scope.