Gaon Cable, a subsidiary of LS Cable & System, said on the 18th it signed a $4 trillion won supply deal in the United States for bus ducts (power distribution equipment) for data centers. It is the largest order ever in Korea's wire and power equipment industry.
Gaon Cable, through its U.S. subsidiary LSCUS, signed a five-year long-term contract with a U.S. big tech corporations and agreed to supply bus ducts worth more than 4 trillion won to dozens of data centers by 2030.
Bus ducts produced at LS Cable & System's Indong plant in Gumi, North Gyeongsang, will be supplied first. The company plans to ramp up volume through LS Cable & System's Mexico subsidiary, a 230 billion won project to be completed this year, and Gaon Cable's Jeonju plant.
Following LS Eco Energy, the ultra-high-voltage cable subsidiary, LS Cable & System has strengthened its push into the North American market—where big tech data centers are concentrated—by securing large orders through Gaon Cable as well. Recently, it has also signed a series of contracts to supply bus ducts and cables in Southeast Asia, including Malaysia and Vietnam.
Byeon Jeong-il, head of the bus duct division at LS Cable & System, said, "This is the result of combining LS Cable & System's global sales capabilities with the on-the-ground responsiveness of Gaon Cable's U.S. subsidiary," and added, "Following last year's large-scale contract with big tech, we are rapidly expanding supplies to AI data centers in the United States through this order."