HD inaugurates the home of super-large generator engines in Korea

On Wednesday the 28th, HD Construction Equipment hosted a grand opening ceremony for its new engine plant at the Gunsan Campus, located within the Gunsan National Industrial Complex in Jeonbuk State. The event drew around 200 attendees, including key executives and officials such as HD Hyundai Vice Chairman Cho Young-cheul, HD Construction Equipment President Moon Jae-young, Jeonbuk Governor Lee Won-taeg, National Assembly Member Kim Eui-kyeom, Gunsan Mayor Kim Jae-jun, and Park Tae-hyeon, Director General for Industrial AI Policy at the Ministry of Trade, Industry and Resources, alongside key partners and clients.

A Huge Investment for a Huge Horizon

Built over two years with a KRW 116.8 billion investment (around 79.15m €), the new facility spans 62,700 square meters within the Gunsan Campus. The company maximized both quality control and operational efficiency by integrating advanced assembly robots, Autonomous Mobile Robots (AMRs), predictive defect detection systems, and a centralized control tower.

At full capacity, the new smart factory delivers an annual production capacity of 120 defense-grade tank engines and 1,250 Super-large generator engines ranging from 1 to 3 MWe. Its yearly output for battery packs also reaches up to 1,460 MWh, which is enough to power approximately 9,400 electric buses.

AI Drives

In response to the rapidly increasing demand for high-output power generators driven by AI data centers, HD Construction Equipment plans to begin mass production of its Super-large generator engines at the Gunsan plant. The rollout will kick off with a 37-liter (1.3 MWe) model in the first half of next year, followed by a 77-liter (3 MWe) model in 2028 and a 50-liter (2 MWe) model in 2029.

Furthermore, the new facility will enable the company to reliably meet the growing mid-to-long-term demand for defense-grade tank engines, while also expanding its supply of battery packs across the commercial vehicle, construction equipment, and industrial sectors.

During the ceremony, the company unveiled its 37-liter Super-large generator engine, DX37, alongside the new name and slogan for its engine business unit. Reflecting its mission to provide the power that drives industries forward through its engines and battery packs, the unit has been named the Power Solutions Business Division. The new slogan, “Powering the Next,” embodies the company’s commitment to realizing future technologies and creating new opportunities.

Under this new slogan and backed by the new Gunsan facility, HD Construction Equipment will aggressively target the growing demand for generator engines, defense engines, and battery packs. The company aims to reach KRW 2.5 trillion in engine business revenue by 2030, nearly doubling its 2025 revenue of KRW 1.3 trillion.

Insights

“We will pioneer future technologies and proactively create new business opportunities to meet emerging energy demands,” said Moon Jae-young, President of HD Construction Equipment, during the ceremony. “Through these efforts, we will ensure our company grows hand-in-hand with the local community.“

Key Points

• Major Investment in Gunsan: HD Construction Equipment inaugurated a new 62,700-square-meter smart factory at its Gunsan Campus in Jeonbuk State, built over two years with an investment of KRW 116.8 billion.
• High Annual Production Capacity: At full capacity, the facility can produce 1,250 super-large generator engines (1 to 3 MWe), 120 defense-grade tank engines, and up to 1,460 MWh of battery packs per year—enough to power roughly 9,400 electric buses.
• Smart Factory Automation: The plant integrates advanced assembly robots, Autonomous Mobile Robots (AMRs), predictive defect detection systems, and a centralized control tower to maximize quality and operational efficiency.
• Product Roadmap for AI Data Centers: Targeting surging power demand from AI data centers, mass production begins in the first half of next year with the newly unveiled 37-liter DX37 engine (1.3 MWe), followed by a 77-liter (3 MWe) model in 2028 and a 50-liter (2 MWe) model in 2029.
• Ambitious 2030 Revenue Target: Rebranded as the Power Solutions Business Division under the slogan “Powering the Next,” the engine unit aims to reach KRW 2.5 trillion in revenue by 2030, nearly doubling its KRW 1.3 trillion result from 2025.

Has HD Hyundai Ever Won the Diesel of the Year Award?

Yes. HD Hyundai was awarded at EIMA International in 2024. DX05 and DX08 were awarded Diesel of the Year 2025.  The 5-litre and 7.5-litre respectively reach up to 171 kW and 955 Nm and 254 kW and 1,460 Nm. Compared to the Korean engine maker’s previous models, there is an estimated 6% jump in power and torque for the 5-litre engine. Moving on to the DX08, it is estimated at 19% and 15%. 

Why did HD Construction Equipment build the new Gunsan engine plant?The facility was built to meet the surging global demand for high-output power generators driven by AI data centers, while also securing reliable mid-to-long-term production for defense-grade tank engines and industrial battery packs.

What is the production roadmap for the new super-large generator engines?
Mass production will begin in the first half of next year with the newly unveiled 37-liter DX37 (1.3 MWe) engine. This will be followed by a 77-liter (3 MWe) model in 2028 and a 50-liter (2 MWe) model in 2029.

What are the company’s financial and strategic goals for this business unit?
Newly named the Power Solutions Business Division with the slogan “Powering the Next,” the division aims to reach KRW 2.5 trillion in annual revenue by 2030, nearly doubling the KRW 1.3 trillion recorded in 2025.