[Heavy Industry ON] Doosan’s Transformation: A Second Foundation Driven by 'SMR, Hydrogen, Gas Turbines'

From Consumer Goods to Heavy Industry, and Now to Energy Technology
Doosan at Its Third Major Turning Point
Shifting Business Focus Beyond Power Equipment to SMRs and Hydrogen

Doosan is accelerating its structural transformation from a core heavy industry-focused company to an energy transition technology company. Drawing on over a century of experience in business restructuring, the company is now entering yet another phase of transformation. This change is significant because it is not merely a business expansion, but rather a shift that redefines the company's very identity. While Doosan was once known as an "equipment manufacturer," it is now repositioning itself as a company that designs and supplies the technologies needed for the energy transition process.

Exterior view of Doosan Enerbility Changwon Plant. Provided by Doosan Enerbility

Doosan's long history also provides clues to understanding this transformation. Founded in 1896 as Park Seungjik Store, Doosan grew through consumer businesses such as beer, beverages, and chemicals. Later, following changes in industrial structure and the Asian financial crisis, it underwent bold business restructuring and transformed into a company focused on heavy industry and construction equipment, becoming a representative of "core heavy industries." While previous changes were driven largely by the need for survival, this current transformation is considered a strategic shift to secure the company's future, setting it apart in character.

Doosan is the oldest company in Korea, founded in 1896. Photo by Doosan Group.

According to industry sources on March 21, Doosan Enerbility is rapidly expanding its future energy portfolio while maintaining its existing power generation equipment-centered business structure. The plan is to establish itself as more than just a plant manufacturer, but as a supplier of the core technologies needed in the era of energy transition.

This shift is even more apparent when looking at the actual business landscape. Although traditional businesses such as power generation, desalination, and construction equipment remain the foundation, the addition of new ventures like collaborative robots and semiconductor materials is enabling the company to diversify its industrial portfolio on multiple levels.

This is seen as a move to break away from reliance on a single industry and secure multiple growth engines. It is also a strategy to offset the limitations of core heavy industries, which are highly exposed to market volatility.

One of the most notable aspects is the focus on future energy sectors. Doosan Enerbility is pushing ahead with business restructuring centered on four main pillars: small modular reactors (SMRs), domestically produced large gas turbines, offshore wind power, and the hydrogen value chain.

All of these areas are connected to the global trends of "carbon neutrality" and "rising electricity demand." Rather than simply expanding its business, Doosan is reorganizing its portfolio to align with the direction the energy industry is expected to take over the coming decades.

SMRs are a representative example of this shift. As next-generation nuclear reactors, they offer greater safety and flexibility compared to large-scale nuclear power plants and are rapidly gaining attention in the global market. Doosan Enerbility is focusing on manufacturing capabilities rather than design and is building partnerships with global companies. Since only a limited number of companies worldwide can actually manufacture these reactors, Doosan's strategy is to establish itself as a "manufacturing hub" in this field.

Head of Doosan's large-scale nuclear power plant raw materials. Provided by Doosan

The gas turbine business also exemplifies the shift from a traditional industry to a future-oriented technology. Doosan Enerbility achieved technological independence by becoming the fifth company in the world to develop a large-scale gas turbine for power generation on its own. The company is now taking this a step further by expanding into hydrogen turbines that use hydrogen as fuel, positioning itself for the era of carbon neutrality. Whereas gas turbines were previously seen as "power generation equipment," their role is now being redefined as "low-carbon power solutions."

The offshore wind power business is following a similar trajectory. As the share of renewable energy in the global electricity market increases, offshore wind is emerging as a key power source. Doosan Enerbility is developing models based on domestic technology and accumulating project experience as it prepares to enter overseas markets.

The hydrogen business is a longer-term investment. Doosan is working to build out the entire value chain, from production to storage, transportation, and utilization, thereby expanding its role in the future energy ecosystem. Liquid hydrogen plants, ammonia cracking technology, and hydrogen turbines are all considered essential infrastructure for the hydrogen economy. In this way, Doosan Enerbility's transformation goes beyond the expansion of individual business lines, encompassing the entire energy industry.

Doosan manufactured the fifth largest heavy-duty gas turbine in the world. The photo shows a domestically produced large gas (hydrogen) turbine. Provided by Doosan.

Industry observers have described this as the "evolution of a core heavy industry company." By combining its established manufacturing capabilities with future energy technologies, Doosan Enerbility is transforming into an entirely new type of business.

Another industry insider noted, "Doosan Enerbility is an example of a company that is maintaining the strengths of traditional manufacturing while embracing the sweeping trend of energy transition. It's a structure that encompasses both existing and future industries."

Ultimately, the key question is shifting from "What does the company make?" to "What role does the company play?" Doosan Enerbility is no longer just a supplier of equipment, but a company that designs and implements the technologies needed for the energy transition.

For 129 years, Doosan has shifted its business focus from consumer goods to heavy industry, and now to energy technology, in line with the flow of industry. Today, the company is once again passing through a new inflection point in its journey.

This content was produced with the assistance of AI translation services.