Hyundai Heavy Industries Co., South Korea’s leading construction equipment maker, signed an agreement with multi-national capital goods company CNH Industrial N.V. to supply mini excavators, the Korean company disclosed on Sunday.
Under the contract, Hyundai Heavy Industries will ship 6-ton and smaller excavators to CNH Industrial for 10 years starting next year. The company undisclosed the contract value, but it said the deal would double its annual compact excavator sales volume to 9,000 units.
The Korean construction equipment maker will supply 5- and 6-ton class excavators on an original equipment manufacturing basis and 1- to 4-ton class excavators in complete knock-down kits for CNH Industrial to assemble and sell. The farm machinery and construction equipment maker will market the excavators under its brands Case and New Holland across the world.
CNH Industrial is a globally leading capital goods company that manufactures agricultural and construction equipment, commercial vehicles as well as engines and transmissions for vehicles. It sells its products through about 1,200 dealers worldwide, with strong sales network especially in advanced markets such as North America and Europe.
Separately, Hyundai Heavy Industries and CNH Industrial also agreed to collaborate on developing new models.
By Park Yong-beom
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]