Production Begins at Hyundai Cummins Engine Facility

May 16, 2014

Engine production is under way at the Hyundai Cummins Engine Co. (HCEC) joint-venture facility located in the city of Daegu, South Korea, Cummins announced. The first engines built at HCEC are being supplied to the Hyundai construction equipment facility in Ulsan, Korea, for installation in excavators and wheel loaders. The new HCEC facility has the capacity in place to ramp up production to more than 50,000 MidRange engines per year, spanning a power range from 133 to 365 hp (99 to 272 kW).

"Production start-up at the new HCEC facility takes place just 19 months after the initial ground-breaking on site in November 2012, representing a remarkably short completion time to establish a world-class engine manufacturing operation," said Dave Crompton, vice president and general manager of Cummins Engine Business.

"This achievement was made possible by the joint-venture partners — Hyundai Heavy Industries and Cummins — combining their respective areas of manufacturing expertise. I am very pleased that we are working in close partnership with such a highly respected company as Hyundai, and now have a major engine manufacturing presence in Korea ready to power construction and industrial equipment," Crompton added.

Rapid implementation of the planning and construction of the HCEC facility was enabled due to the fast-track support provided by the city of Daegu and the Daegu-Gyeongbuk Free Economic Zone (DGFEZ) agency. The HCEC site is located in a sector of the DGFEZ development area intended for high-technology manufacturing.

The MidRange engines manufactured by HCEC include a mechanically controlled 5.9-liter and 8.3-liter series and an electronically controlled 6.7-liter and 8.9-liter series. They are configured to provide optimized integration and perform in earth-moving equipment and industrial applications. The HCEC-built engines are derived from Cummins B, C and L base engine platforms. 

By starting with a clean-sheet design approach, the HCEC facility incorporates technology throughout the engine manufacturing, painting and testing processes. As a result, the factory sets new standards for energy efficiency and eco-friendly operation.

During engine hot testing, a regenerative system is used to capture waste energy, enabling up to 700,000 kilowatt-hours per year to be saved as production ramps-up. The use of a water-based engine painting system also makes an important contribution to achieving more eco-friendly manufacturing.

The plant includes the latest ergonomic designs for every work station for employee comfort and safety, and use of clean manufacturing techniques to create a better working environment.

The HCEC joint-venture partnership builds on the strong foundations established by a business relationship between Hyundai and Cummins, extending back more than 20 years. Today, Hyundai utilizes Cummins power for a range of equipment, varying in size from a compact wheel loader with the B3.9 engine with 3.9-liter displacement, up to the largest excavator powered by the QSK23 engine with 23 liters.

The latest generation of Hyundai machines currently being introduced to North America and Europe feature Cummins near-zero emissions engine and aftertreatment system, meeting U.S. Environmental Protection Agency Tier 4 Final and European Union Stage IV regulations.