Volvo Korea, POSCO aim to transform construction equipment with high-performance metals

Volvo Group Korea and POSCO officials pose at an MOU signing ceremony in Changwon, Friday, to jointly develop high-performance materials and manufacturing technologies. Courtesy of Volvo Group Korea

Volvo Group Korea said Monday it signed a memorandum of understanding with POSCO to jointly develop high-performance materials and manufacturing technologies for next-generation construction equipment.

The agreement, signed Friday at Volvo Group Korea's Changwon plant, brings the two companies together to prepare for the shift toward electrification and carbon neutrality in the construction machinery sector.

The ceremony was attended by officials at Volvo Group Korea and POSCO’s technical research institute, the automaker said.

The companies said they will collaborate across the full development cycle, from material research to application and validation in equipment, as demand grows for lighter machinery and stronger materials to reduce carbon emissions.

Under the agreement, the two companies will share data and technology related to electrification and carbon neutrality, jointly develop materials for next-generation construction equipment, conduct application testing and technical verification and expand technical exchanges through seminars.

The companies said their focus will be on structural lightweighting using high-strength steel, along with welding and manufacturing technologies essential for construction equipment structures.

Volvo Group Korea said it will lead equipment development and provide technical data, while POSCO will develop advanced materials and manufacturing processes and support the research and development process.

The collaboration is expected to strengthen integrated capabilities across materials, design and production, with new technologies to be gradually applied to excavators produced at the Volvo Group Korea plant in southeastern Korea, the automaker said.

“In developing next-generation construction equipment, the integration of materials and manufacturing technologies is a key competitive factor,” Volvo Group Korea said.

“Through cooperation with POSCO, we will apply these technologies to actual equipment to improve durability and performance while strengthening product competitiveness.”

This article was published with the assistance of generative AI and edited by The Korea Times.