HD Hyundai Heavy Industries to invest $800M in engines, SMRs
The South Korean company will invest USD 622 million to build a new 3 GW production facility for its HiMSEN engines in Ulsan. It will also invest USD 178 million to establish a manufacturing facility for small modular reactors (SMR) equipment.
HD Hyundai Heavy Industries has announced that it will invest a total of KRW 1.0722 trillion (about USD 800 million) to build a new power generation engine production facility and a dedicated manufacturing facility for small modular reactors (SMRs).
The investment is aimed at strengthening the company’s future competitiveness in land-based power generation engines and SMRs, the company said.
First, the company will invest KRW 833.6 billion (about USD 622 million) to build a new 3 GW production facility for its HiMSEN engines in Onsan-eup, Ulju-gun, Ulsan.
The new production complex will span approximately 215,000 square meters and include an engine assembly and testing facility, a crankshaft machining facility, and an engine block casting facility. Construction is scheduled to begin in the first quarter of next year, with completion targeted for May 2028 and full-scale operations to commence thereafter.
HD Hyundai Heavy Industries’ main Ulsan facility will focus on HiMSEN engines for marine applications, while the new facility and HD Hyundai Engine in Yeongam, South Jeolla Province, will specialize in HiMSEN engines for land-based power generation.
The company will also invest KRW 238.6 billion (about USD 178 million) to establish a dedicated manufacturing facility for key SMR equipment. The facility will be built on the premises of HD Hyundai Heavy Industries’ Ulsan shipyard, with completion targeted for the first half of 2029, the company said.
“This investment is aimed at securing core competitiveness in power generation engines and SMRs, which are emerging as new sources of electricity in the AI era,” an HD Hyundai Heavy Industries official said. “We will proactively respond to rapidly growing power demand and take the lead in the global AI infrastructure market.”
