Gaon Cable Invests in U.S. Overhead Conductor Facilities, Makes Bold Entry into Transmission Network Market Beyond Distribution

LSCUS Expands U.S. Production Lines
Building a Supply Chain from Internal Power Grids to Transmission Networks

Gaon Cable has made a decisive investment in overhead conductor facilities through its U.S. manufacturing subsidiary, significantly expanding its North American business from a focus on distribution to targeting the large-scale transmission network market.

On September 29, Gaon Cable announced that its U.S. production subsidiary, LSCUS, will move forward with new investments in overhead conductor production facilities. Overhead conductors are wires used to transmit large volumes of electricity over long distances via transmission towers, and compared to underground cables, they have cost-effective installation advantages. This makes them an essential power grid infrastructure, optimized for the wide geographical distances between power plants and demand sites in the United States.

LSCUS, the U.S. production subsidiary of Gaon Cable. Gaon Cable

LSCUS is planning to sequentially complete the expansion of its existing medium voltage (MV) and low voltage (LV) cable production lines in two phases—next month for phase one and by the first half of next year for phase two. After this, the company intends to establish new overhead conductor facilities, thereby building a comprehensive local supply system that connects internal power grids within power plants to the transmission network.

This latest investment by Gaon Cable is a proactive response to the trend of expanding North American power infrastructure, exemplified by projects such as the U.S. gas combined power plant project—the first major investment in the U.S. by the Korean government. When building new gas-fired power plants, low voltage cables are used internally, medium voltage cables connect power plants to substations, and transmission lines are indispensable for sending generated power to end users.

According to the Edison Electric Institute (EEI), U.S. power companies are planning to invest approximately $178 billion (about KRW 240 trillion) in transmission networks between 2025 and 2028 to support the expansion of artificial intelligence data centers (AIDC), construction of advanced manufacturing plants, and integration of renewable and gas-based power sources. Gaon Cable is already supplying low voltage cables to AIDC plants being built by major tech companies in Texas.

With this overhead conductor investment, Gaon Cable is broadening its business from the internal power grids of power plants to transmission networks. Additionally, the company expects to create synergy by collaborating with its affiliate LS GreenLink, which specializes in extra-high voltage submarine and underground cables. Gaon Cable is also diversifying its strategy to enter the nuclear power cable market in anticipation of growing investments in American nuclear power generation.

Gaon Cable CEO Jung Hyun stated, "We will continue to reinforce our local production and supply system, centering on LSCUS, to cover the entire value chain from transmission to distribution and further expand our reach in the rapidly growing U.S. power infrastructure market."

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