HD Hyundai Infracore has secured an order for 100 excavators in Ethiopia to support the burgeoning mining sector and ongoing infrastructure developments. This move highlights the company’s strategic expansion within Africa, where it has already established a dominant market presence. The demand for construction machinery is driven by large-scale projects such as the construction of Africa’s largest airport in Ethiopia.
HD Hyundai Infracore has announced a significant order for 100 large excavators to be supplied to Ethiopia, signifying a major part of its strategic expansion within Africa. This contract was disclosed on March 25, and it entails the delivery of 36-ton crawler-type excavators to two mining companies, with an expectation for completion by June of this year.
This order aligns with Ethiopia’s enhanced focus on its mineral industry, which benefits from abundant resources like cobalt and lithium. Integral to this development is the ongoing construction of Africa’s largest airport near Addis Ababa, projected to serve 110 million passengers annually, thereby escalating the demand for heavy machinery, including the excavators that HD Hyundai Infracore is delivering.
In the previous year, HD Hyundai Infracore achieved notable success in Ethiopia by selling 212 excavator units of the same model, capturing a remarkable 57% of the market share and establishing itself as the leading supplier in the region. The company’s performance reflects a wider trend in Africa, where sales of excavators and medium-to-large wheel loaders surged by 34.8%, from 13,500 to 18,200 units within a year.
A company representative highlighted Ethiopia’s crucial position within the African market by stating, “Ethiopia is a key market, accounting for more than one-third of sales in the African market.” He further noted plans to exploit their strong presence in Ethiopia to expand into adjacent markets and enhance brand recognition across the continent, adding, “Based on this, we will expand our market to neighboring countries and strengthen our brand influence across Africa.”
Beyond Ethiopia, HD Hyundai Infracore is set to broaden its sales forces from the Middle East throughout Africa. This initiative responds to increasing demands for construction machinery, prompted by infrastructure and social overhead capital projects throughout the continent.
In conclusion, HD Hyundai Infracore’s recent procurement of a substantial order for excavators signifies pivotal growth in Ethiopia’s mineral sector and construction market. The company’s substantial market share and aspirations for regional expansion underscore the importance of Ethiopia in the wider African landscape, as the demand for construction machinery continues to rise alongside ambitious infrastructure projects. Furthermore, their strategic approach to broadening sales efforts within Africa reflects a commitment to enhancing market influence and boosting operational success.
Original Source: www.businesskorea.co.kr
