By Kim Yoo-chul
LS Cable & System (LS Cable) said Wednesday its affiliate in the United States has completed the company’s first North American power cable plant.
This is the first time in the industry that an Asian company has secured a manufacturing base in the United States. As of the end of last year, the United States produced and consumed the most electricity in the world, generating 1,072 gigawatts.
``This is a memorable moment in LS Cable’s 50-year history,’’ company Chairman Koo Cha-yol was quoted as saying in a press release.
LS Cable and affiliate Superior Essex started building the plant in May last year. Over the last 17 months, the two invested $64 million (some 70 billion won) in the project, according to the statement.
The 76,200-square-meter facility includes a 38-meter tower to produce medium voltage cables and additional equipment to cover a range of power applications.
The initial launch of Superior Essex Energy’s cable portfolio in February 2012 included low 300- and 600-volt instrumentation cables for control systems, audio, intercoms, energy management, and alarm controls and low 600-volt control cables for industrial, utility power, or station control circuits, the statement added.
LS spokesman Pitt Kim said the new plant in Tarboro, North Carolina will hire approximately 116 employees over the next five years. But Kim declined to comment on revenue targets for the plant. Superior Essex’s headquarters is in Atlanta.
``Our grand opening marks our expansion into medium-voltage energy cables as well as other larger low voltage cables for multiple markets and applications,’’ said Lindsay Allen, vice president of marketing for Superior Essex, in a separate statement.
LS said it will produce high-end undersea cable and high-voltage cable products while providing Superior Essex’s conventional wire items to customers in North America.
``Major construction companies in North and South America are our primary targets. Also, LS Cable and Superior Essex will launch a joint marketing campaign to electricity providers in each American state,’’ said Kim.
There are currently some 3,500 electricity-related companies in the United States. By 2030, Washington plans to replace 20 percent of all electricity consumption with renewable energy, investing more for wire- and cable-related projects.
``The completion of the U.S. plant will help LS Cable bolster our international presence as LS already has manufacturing bases in China, India and Vietnam,’’ said Kim.