HD Hyundai announces merger of construction equipment divisions
HD Hyundai will merge its two construction equipment divisions, HD Hyundai Infracore known as Develon, and HD Hyundai Construction Equipment.
The new, unified company will be tentatively named HD Construction Equipment and the Develon and Hyundai brands and dealer networks will continue operating independently in North America, each retaining its own identity and strengths.
Headquartered in Seoul, South Korea, it will merge its construction equipment divisions effective Jan. 1, 2026.
The two companies currently operate independently in North America through distinct dealer networks and the independent brand and dealer network structure will remain in place.
Pending shareholder approval and regulatory review, sources report the merger will create a stronger global construction equipment business while maintaining the current success for the Develon and Hyundai brands in North America.
“While this merger creates a more powerful global entity, we are committed to ensuring stability and continuity for our dealers and customers in North America,” says WH Kim, CEO of Develon North America. “Our dealers will continue to work with the same staff they do today, and the Develon and Hyundai brands will continue to be strong, independent forces in the market.”
The advantages of merging the two companies include the following:
- Providing greater price competitiveness through increased scale.
- Speeding innovation in smart and electrified equipment.
- Enhancing supply chain efficiency and product quality.
- Expanding aftermarket support, including parts and service.
- Growing the product lineup, ranging from compact to ultra-large machines.
- Building on the growth of engine sales and aftermarket services.
There are more than 200 dealer locations in North America, dedicated to providing sales, parts and service support to customers.
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