Taihan Cable to invest $358 mil. won in cable plant
This graphic shows the No. 2 submarine HVDC cable plant to be established in Dangjin, South Chungcheong Province by 2027. Courtesy of Taihan Cable & Solution
Taihan Cable & Solution, Korea's second-largest cable company, said Wednesday it will invest 497.2 billion won ($358 million) in a submarine cable plant to meet rising global demand.
The company will begin first-stage construction of its No. 2 submarine cable plant in Dangjin, about 80 kilometers south of Seoul, later this year, with operations slated to start in 2027, it said in a press release.
"The first-stage investment is aimed at meeting rising global demand for high-voltage direct current (HVDC) cable systems," it said.
HVDC is more economical than conventional alternating current for transmitting large amounts of power over long distances, as it generally has lower losses than typical transmission systems.
The first-stage investment is part of the company's plan to build a 1 trillion-won submarine cable plant in Dangjin, with further funding to follow for expanding the No. 2 plant, it said.
Taihan Cable currently operates the No. 1 submarine cable plant in Dangjin, as well as an underground power cable plant and a cable solutions plant.
The global submarine HVDC cable market is expected to grow to 28 trillion won by 2029, up from 6 trillion won in 2022.