Three Korean Power Equipment Companies Expanding Local Production in the U.S.

Hyosung Heavy Industries, HD Hyundai Electric, and LS Electric, the three major domestic power equipment companies, are speeding up the expansion of their production capacity in the United States. This is an effort to strengthen their responsiveness to the U.S. market as demand rises for AI data center expansion and replacement of aging power facilities. Hyosung HICO, a subsidiary of Hyosung Heavy Industries, will establish a joint venture with a subsidiary of Quanta, a U.S. energy infrastructure company, and plans to begin producing extrahighvoltage circuit breakers at its Cannonsburg, Pennsylvania, plant starting in October. With this, Hyosung Heavy Industries will be able to produce both extrahighvoltage transformers and circuit breakers in the United States. HD Hyundai Electric plans to build a U.S. production system for 765kVclass extrahighvoltage transformers, following its plant in Montgomery, Alabama, while LS Electric continues producing switchgear and medium and lowvoltage power equipment at its plants in Utah and Texas. The industry explains that the growth potential of the U.S. power equipment market and competitiveness in logistics and delivery times are the main reasons behind the expansion of local production.