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Daedong Corp. Partners with POSCO Holdings to Develop Industrial Robots for Steel Mills

South Korea’s Leading Tractor Maker Enters Robotics, Collaborating on Autonomous Technology for Steel Industry
South Korea
d 000490.KO p 005490.KO Mid and Small Cap 2000 Blue Chip 150
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Daedong Corp., South Korea’s premier tractor and farm machinery manufacturer, announced a strategic partnership with POSCO Holdings Inc., the parent company of the country’s top steelmaker, to venture into the development and production of industrial robots. This collaboration signifies Daedong’s significant entry into the robotics market, particularly focusing on applications in steel mills and other industrial settings.

Under this partnership, Daedong and POSCO aim to develop industrial robots by the end of July. These robots will be deployed in POSCO’s steelworks for tasks such as collecting debris from blasted mineral-contained rocks, a process that was previously performed manually. This initiative marks Daedong’s commitment to robotics, following the recent establishment of its robot business planning division.

Daedong is making serious inroads into the robotics industry with this collaboration. Gam Byung-woo, chief of Daedong’s product planning division, revealed that by 2025, the company plans to unveil a prototype autonomous robot requiring minimal human control, suitable for deployment in steel plants.

The announcement of this partnership significantly boosted Daedong’s stock, with shares surging by 30% to close at 18,080 won. Affiliates of Daedong, including Daedong Gear Co. and Daedong Metals Co., also experienced substantial gains.

Renowned as the ‘Korean Tesla’ of the agricultural machinery industry, Daedong has been transitioning into a smart mobility company. It integrates autonomous driving and Internet of Things (IoT) technologies into its mechanized farming equipment. The company’s robotics division aims to develop a diverse range of agricultural and industrial robots, including those for automatic gardening, lawn-mowing, and transportation.

Daedong’s expansion into smart mobility includes partnerships across various sectors. Last year, Kakao Mobility Corp. acquired a stake in Daedong Mobility Co. to co-develop next-generation smart mobility vehicles. Collaborations with academic institutions like KAIST and Seoul National University focus on motor and vehicle control technology, autonomous driving, and smart farm technologies. Additionally, Daedong works with KT Corp. on indoor autonomous driving technology based on smart robot chairs.

Founded in 1947, Daedong Corp. has a rich history in manufacturing tractors, combines, power tillers, lawnmowers, and engines for agricultural machinery. Internationally, its products are marketed under the KIOTI brand. This venture into robotics and smart mobility underscores Daedong’s commitment to innovation and diversification, poised to make a substantial impact in the industrial robotics and smart machinery sectors.

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