Doosan Infracore is now focused on breaking into China’s wheel loader market. In July, the company acquired wheel loader maker Yantai Machinery Ltd. (in Shandong Province) and is now stepping up its program to develop models that cater to Chinese requirements. The new wheel loaders are designed for the local operational environment as well as Chinese operators’ working habits and body types. Many potential buyers showed interest when the company conducted pre-marketing activities at the 9th Beijing International Construction Machinery Exhibition & Seminar (BICES), held Oct. 16-19. The new equipment must complete performance testing before going on the market in the first half of next year.
The Yantai Machinery Ltd. purchase provides a local wheel loader factory and allows Doosan Infracore to take part in the wheel loader segment, which represents 40% of the Chinese construction equipment market. Since the acquisition, Doosan Infracore has started a factory expansion project that will boost annual output capacity to 5,000 units. The company is also overhauling the after-sales service network as part of efforts to bolster competitiveness.
Doosan Infracore already is China’s top seller of excavators. The company will take advantage of its existing excavator sales and service network to secure the largest share of the wheel loader segment as well.
Doosan Infracore China Co. (DICC) Sr. Vice President Kim Dong-chul says, “With our improved competitiveness, we expect to sell 14,000 excavators a year in China by 2015 for a market share of over 10%. We will thus grow into the leading wheel loader maker. To this end, we will continue to expand our sales and after-sales service networks. We will also increase our R&D and production capabilities.”
In addition to the wheel loader campaign at BICES, Doosan Infracore exhibited thirteen different excavators, four forklift models, and three diesel engines. The show served as an opportunity for the company to highlight its stature as a heavy equipment maker in China, which is rapidly becoming the world’s largest market for construction equipment.
