Original Korean article: News1
The Korea Export-Import Bank announced on August 24 that it will provide 300 billion won in financing for LS Cable and System's construction of the largest submarine cable factory in the United States.
LS Cable and System is investing approximately 1 trillion won to build the factory in Chesapeake, Virginia. Upon completion in the second half of 2027, the factory will be capable of producing 500 kilometers of high-voltage direct current (HVDC) submarine cables annually. The produced submarine cables are planned to be supplied to North American sites and European offshore wind farms.
LS Cable and System was the first in South Korea to commercialize 525kV, 80C-grade HVDC submarine cables.
Offshore wind has recently drawn attention as a key energy source for carbon neutrality as global power demand surges due to artificial intelligence data centers and other factors. The Korea Export-Import Bank forecasts that demand for HVDC submarine cables will increase at an accelerating pace.
Through this financing support, the Korea Export-Import Bank expects LS Cable and System to simultaneously secure a foothold in the North American cable supply chain and develop the European market.
A Korea Export-Import Bank official stated: "As the importance of power infrastructure in the AI era becomes more prominent, the related market size is expected to grow sharply. Since HVDC submarine cables are a core element in building power networks for AI data centers, we will actively support the expansion of market share and securing technological leadership for domestic cable companies through preferential financing under the AI Transformation (AX) special program introduced earlier this year."
