Lee Min-hyung joined The Korea Times in 2014 and has worked as a journalist mainly in Korea’s finance, tech and automotive industry. He specializes in content creation, breaking news and in-depth analysis currently on transportation and mobility. You can reach him via mhlee@koreatimes.co.kr.
LS Electric lands $70 mil. US transformer deal
LS Power Solution's extra-high-voltage transformer / Courtesy of LS Electric
By Lee Min-hyung
LS Electric secured a major contract worth $70 million (105.6 billion won) to supply its extra-high-voltage transformers to an energy infrastructure firm in the United States, the company said Monday.
Under the deal, LS Power Solution, acquired by LS Electric in 2024, will supply its 345-kilovolt-class transformers for a large-scale data center operated by a big tech firm in the United States. Deliveries are scheduled from the fourth quarter of 2027 to the first half of 2028, according to LS Electric.
The latest contract will further solidify the firm’s position in North America as demand for electricity soars in line with the rise of artificial intelligence (AI) and cloud computing. The tech paradigm shift requires more investment for stable and efficient power infrastructures across the region.
The shift has been further reinforced by a recent pledge from seven global tech firms, which pledged to source electricity for their data centers from self-built power generation facilities, rather than drawing from public grids.
LS Electric has been strengthening its presence across the data center power value chain.
In September last year, the company secured a $46 million contract in the U.S. to supply its power distribution solutions for a microgrid project. The latest deal expands its role to include extra-high-voltage transformers, underscoring the firm’s comprehensive technological capabilities spanning both transmission and distribution.
LS Electric said the end client is a major tech company, but declined to disclose its name due to a nondisclosure agreement.
“Following our earlier supply of power distribution solutions, we have now been selected as a provider of extra-high-voltage transformers, demonstrating our technological reliability across the entire power spectrum,” its official said.
LS Power Solution has been recognized as one of the country’s five key suppliers of extra-high-voltage transformers to Korea Electric Power Corp. LS Power Solution expanded its product lineup to include the 345-kilovolt systems and broadened its customer base across the globe after it was acquired by LS Electric.
The market for data center power infrastructures in North America is estimated to be valued at around $37.2 billion by 2035, with an average annual growth rate of 16 percent from 2025, according to data from the firm.