Hyundai Construction Equipment announced this week it expects to build 2,200 mini-excavators for CNH in a deal worth $449 million. The agreement ends in 2021.
After separating from Hyundai Heavy Industries in April, this move is seen as part of the firm's effforts to expand its global reach. Hyundai Construction said it is seeking to increase its sales volume in North American by 40 percent and build sales in Oceania by 45 percent.
“In an effort to further our technology development sector, as well as further develop our excavator sales lineups and strengthen the reliability of our evaluation centers, we plan to invest 660 billion won ($587 million ) by 2021 to ensure that our company’s performance, quality and services are recognized as having the highest quality, not only in emerging markets but also in advanced markets,” said Hyundai Construction President Kong Ki-young in a press release.
“Through this, we will make an effort to become one of the world’s top five (construction equipment companies) by having our sales reach 7 trillion won by 2023,” he added.
In the same announcement, Hyundai Construction also announced it will supply Oldcastle Inc. with 285 forklifts.