Chairman Cho Hyun-joon of Hyosung is placing a high-stakes bet on the U.S. power market by building a production base for ultra-high-voltage circuit breakers in the United States.
Hyosung Heavy Industries said on the 14th that its subsidiary Hyosung HICO signed an agreement to establish a GCB (gas circuit breaker) joint venture, HYOSUNG HICO BREAKER, LLC, with a subsidiary of Quanta Services, Inc., a North American energy infrastructure solutions corporations.
Starting in October, the joint venture plans to begin producing ultra-high-voltage circuit breakers ranging from 72.5 kilovolts (kV) to 800 kV at Quanta's Canonsburg plant in Pennsylvania. Hyosung believes it will be able to meet surging demand for power equipment driven by the rise of artificial intelligence (AI) data centers and the modernization of aging power grids in the United States.
Quanta, the parent company of the joint venture partner, is the largest U.S. EPC (engineering, procurement and construction) corporations specializing in power and energy infrastructure. It has infrastructure and customer networks across utilities, power generation and energy storage systems (ESS), data centers and other large power-demand facilities, and the broader communications and energy markets.
The establishment of the joint venture is the result of Chairman Cho Hyun-joon meeting Quanta's management in the United States in March and reaching a final agreement. Cho said, "As the advancement of power infrastructure is the most essential task amid the growth of the AI industry, we will leverage the synergy between our successful localization know-how in the U.S. business and this joint venture to establish ourselves as a 'total solution provider' in the U.S. power market."