So far this year, Doosan Infracore has continued to win large-scale contracts for the supply of construction equipment in emerging markets including South America and Southeast Asia.
On 24 January 2019, Doosan Infracore revealed that it had signed a contract with Besalco, Chile for the supply of twenty-one specialized forestry machines – revised versions of the company’s excavators. A leading company in the areas of mining, forestry and construction, Besalco currently operates more than 300 construction machines in South America including Chile and Peru. The latest contract is the company’s first equipment purchase commitment with Doosan Infracore.
Meanwhile, Doosan Infracore has recently executed a contract with Pyae Phyo Tun Industrial, Myanmar, for the supply of twenty 22-ton excavators to the company’s fish farms. Optimized for use in prawn farming, the equipment is characterized by outstanding skid resistance that enables it to work efficiently in muddy work areas as well as onboard.
An official of Doosan Infracore said, “This contract is very meaningful in that Doosan Infracore has succeeded in securing a large new customer in South America, which has previously only used the equipment supplied by our principal rival over the years.” He went on to say, “It will help Doosan Infracore further accelerate its efforts for global market diversification, especially in emerging markets such as Southeast Asia, the Middle East, Africa, and South America.”
In 2018, Doosan Infracore won a bid for the supply of forty-five excavators to an Iraqi customer – the company’s largest contract yet in any emerging market for the supply of a single type of heavy equipment. Through the same bid, Doosan Bobcat also won a contract to supply thirty skid steer loaders (SSL).
In 2018, Doosan Infracore also succeeded in securing large contracts in Africa, including the supply of forty-four excavators and sixteen wheel loaders to a leading civil engineering company in Sudan; twenty-seven wheel loaders to a mining company in Algeria; and twenty excavators to a gold mining company in Ghana.
Doosan Infracore has increased its sales of construction equipment in emerging markets over the past three years, rising to KRW 719 billion in 2016, KRW 871.5 billion in 2017, and KRW 897.8 billion last year (on the basis of the running total until the end of the third quarter). Currently, its sales of construction equipment in emerging markets account for 16.3% of its total revenue.