－Producing 4 models
- Plans to emerge as leader in ISB Industry in the country by gaining dominance in excavator/wheel-loader market 

Doosan Infracore said that it launched a project expected to be another success story in the Chinese wheel-loader market after its impressive performance in the excavator market in that country.

On December 8, Doosan Infracore Shandong Co.,Ltd (DISD), the Company’s local corporation in charge of wheel-loader production, held a ceremony for celebrating the completion of the work for the factory, which will be engaged in mass production, at the site in Yentai, Shandong Province, China, with 300-people attending, including the Korean Ambassador in China, Sin Jeong-seung, Yentai Mayor Zhang Jianting, Doosan Chairman Park Yong-sung and Doosan Infracore Vice Chairman Choi Seung-chul.

With the completion of the work, Doosan Infracore is now equipped with the production and sales network for excavators and wheel-loaders in the country emerging as the world’s largest construction equipment market. With the establishment of a dual production system (i.e. the Incheon factory focusing on high-end models and the Chinese factory specializing in ordinary models), the Company is now in a more flexible position to meet various price/specification-based demands.

The 110,000 ㎡ (=27 acre) factory with the production capacity of 8,000 units a year and 400 employees will produce 4 models of China-type wheel-loaders. Doosan Infracore has a two-phase plan to expand the factory’s capacity to 18,000 units a year by 2012.

Doosan Infracore’s China-type wheel-loader differentiates itself from others by focusing on meeting customers’ core specifications and localization based on the analysis of worksites in the country. In addition to excellence in continued workability, durability, operator convenience, fuel efficiency and noise level, the price is similar to those offered by Chinese manufacturers, meaning that it is competitive both in price and product quality.

The wheel-loader accounts for 40% of the Chinese construction machinery market. Recently, it is growing at a rate higher than 10% a year amid the brisk development work in quarries and mines and the invigoration of the investment in SOC, including highways. The cycle of equipment replacement is relatively short, so those purchasing excavators tend to purchase wheel-loaders, and users show a tendency toward highly efficient models.

Doosan Infracore plans to utilize the existing sales and after-sales service network in China to provide differentiated service to customers with the aim of rising to the top position in the local wheel-loader market on the back of the brand power of Doosan. And the Company plans to make forays into markets for low-priced wheel-loaders, such as Russia, Central Asia, India, and South America, using the momentum gained in the Chinese market.

Managing Director Gang U-gyu, Head of Doosan Infracore Shandong Co.,Ltd said, “Our primary aim is to reach our sales target of 15,000 units of wheel-loaders by 2012 and to rise to the top of the local wheel-loader market. Then, we will strive to emerge as a leader in the ISB Industry in China through utilization of the existing network of overseas operations and the powerful synergistic effect associated with DICC.”