Doosan Infracore(CEO & President Yongsung Kim) announced, on May 24, its plan “to enhance its global customer service and product competitiveness.” This calls for the construction of a global 24-hour parts delivery network by 2016, in order to elevate its customer service and product competitiveness to the top level in the world. To this end, the Company has decided to establish 21 parts distribution centers across the globe by 2016.

Doosan Infracore is currently operating eight parts supply centers, including those in the U.S. Britain, Belgium, and India, as well as its main parts center in Ansan, Gyeonggi Province, Korea. The Company will open additional parts distribution centers in phases by taking into account accessibility, market growth potential and economic viability.

Above all, Doosan Infracore plans to focus on robustly emerging markets, including Latin America and Southeast Asia, and construct parts distribution centers in Brazil and Singapore in the second half of this year. Brazil is expected to see drastic expansion of its construction machinery market due to massive construction projects, as the World Cup and Olympic Games will take place there. Singapore, which is a hub of logistics in Asia, has been picked in consideration of the robust growth of major Southeast Asian countries, including Indonesia..

In the construction machinery business, a key element to success is how fast a company can supply parts and provide a repair service, along with product technology and price competitiveness, because of frequent breakdowns of machinery and parts caused by rough environments and work processes in construction projects. Doosan Infracore said, “If parts distribution centers open in these locations, parts delivery, which would take five to seven days, can be supplied within 24 hours anywhere. This will in turn significantly enhance our service competitiveness and operational efficiency.”

Recently, Doosan Infracore has been stepping up its efforts to expand its network of local dealerships and boost its marketing activities in order to gain the upper hand in emerging markets, including Latin America and Southeast Asia, which are fast arising as key pillars of growth. Doosan Infracore posted 1.38 trillion won in sales in the Asia Pacific region and emerging markets last year, up 11.5 percent from the year before, as the regions account for 21.2 percent of its overall sales in the construction machinery business.

Notably, Doosan excavators’ market share in Latin America increased from 8.9 percent in 2010 to 15.4 percent in February this year. A Doosan Infracore official said, “When the excavator plant now under construction in Brazil is completed, in the second half of the year, the Latin American market will add new growth momentum to Doosan Infracore, as the plant will synergize with our parts distribution network.”