HD Construction Equipment Wins $285.6 Million Engine Supply Contract

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HD Construction Equipment has secured a ₹3,879 crore contract from US-based power infrastructure solutions company Enchanted Rock for the supply of gas power-generation engine long blocks. The agreement was announced on October 7 and covers deliveries from January 2027 through December 2028.

Under the contract, the company will supply 22-litre high-efficiency gas engine long blocks. A long block is the semi-finished engine body that excludes systems such as fuel and ignition components.

Enchanted Rock will use the engines to develop generator-set solutions designed to provide power to hyperscale data centres operated by major US technology companies. The deal comes as demand for reliable, continuous power for data centres grows alongside the rapid expansion of artificial intelligence infrastructure.

The contract is valued at KRW 387.9 billion, or approximately $285.6 million, and represents about 10.27% of the company’s recent annual revenue. The payment terms include a 10% advance, with the remaining 90% billed as the supply contract progresses.

HD Construction Equipment also plans to strengthen its position in the power-generation engine market. Its new Gunsan engine plant is expected to support production of 1–3 MW-class engines, with 1.5 MW and 3 MW models planned for launch in 2027 and 2028.

The order marks an important step in the company’s strategy to expand beyond construction equipment and tap into the rapidly growing data centre power and distributed-generation market.

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