LS ELECTRIC Completes ‘Bastrop Campus’ as Strategic Base for U.S. Market Expansion

Chmn. Koo Ja-kyun of LS ELECTRIC speaks at a ceremony to dedicate “LS ELECTRIC Bastrop Campus” in Texas on April 14. (Photos: LS ELECTRIC)

LS ELECTRIC has officially launched its initiative to target the North American power market by establishing a local production facility in the U.S. state of Texas.

On April 14th , LS ELECTRIC held the completion ceremony of the LS ELECTRIC Bastrop Campus, a multi-purpose complex supporting production, research, and design for its North American operations, in Bastrop, Texas.

The ceremony was attended by over 200 participants, including LS ELECTRIC Chairman Koo Ja-kyun, Texas Governor Greg Abbott, Bastrop Mayor John Kirkland, and other representatives from the Texas state government and regional industry.

In his welcoming remarks, Chairman Koo stated, “The U.S. market and the Bastrop Campus will serve as a solid stepping stone for LS ELECTRIC to become a global enterprise,” adding, “We will invest an additional $240 million by 2030 to expand production facilities, hire local talent, and grow the campus into a North American power solutions hub that thrives alongside the local community.”

He further emphasized, “By expanding production, technology, and service infrastructure across the U.S., we will thoroughly localize not only our products and solutions but also our supply chains and services, thereby offering differentiated customer value. This investment marks the starting point of our goal to achieve 70 percent overseas sales share and to become a Top 4 power company in the U.S.”

A view of LS Electric’s Bastrop campus.

The Bastrop Campus spans a 46,000㎡site with a total building area of about 3,300 square meters, serving as a comprehensive base covering production, technology, and service for the North American market.

LS ELECTRIC acquired the site and supporting facilities in 2023 and has since carried out building expansions and remodeling, as well as gradually installing production systems.

Starting this year, LS ELECTRIC plans to begin full-scale production of medium- and low-voltage power equipment and switchgear systems for delivery to major U.S. data centers operated by Big Tech companies.

By manufacturing its strategic North American power products locally, the company also expects to mitigate risks related to increasing U.S. tariffs and trade barriers.

LS ELECTRIC will use the new Bastrop Campus, along with its MCM Engineering II subsidiary in Cedar City, Utah (which manufactures switchgear systems), as dual hubs to drive aggressive expansion in the region.

Last year, LS ELECTRIC recorded approximately 1.3 trillion won in revenue from North America. Particularly noteworthy is the recent 160 billion won contract to supply switchgear systems to a major Big Tech company’s data center, reflecting rapid growth fueled by rising demand for local power infrastructure.

With its U.S. branch (LS ELECTRIC America) at the core, the company aims to expand market share and close the gap with major global players such as Schneider, Siemens, Eaton, and ABB by building a robust local distribution and service network.

An LS ELECTRIC spokesperson said, “Establishing a production base through bold investment not only ensures stable supply but also provides a strong response to escalating import regulations and tariff risks,” and added, “The completion of the Bastrop Campus will further solidify LS ELECTRIC’s position in the North American market.”

LS ELECTRIC Complete Expansion of Switchboard Plant in Utah, U.S.

LS ELECTRIC recently finished a project to expand a switchboard factory in Utah, the United States.

With the rising demand for AI data centers and the fast replacement of old power facilities in the United States, the company target to redouble local production of switchboards.

A ceremony for expanding the second production line of the switchboard plant in Utah is to take place in April or May, LS ELECTRIC said.

The installation of the expanded production line had been already finished, and production is to be launched in the second half of this year.

Chmn. Koo of LS ELECTRIC is known to attend the upcoming ceremony.

In 2022, LS ELECTRIC acquired a 100 percent stake in MCM Engineering II, a Utah-based switchboard company, to secure the first switchboard production line.

With the overflowing demand, the company decided to expand its production line to expand production capacity.

Switchboards, used to safely distribute electricity throughout commercial and industrial facilities, consists of Molded Case Circuit Breakers (MCCB), magnetic switches (MS)band Air Circuit Breakers (ACB).

LS ELECTRIC has developed most devices of the switchboard on its own, and the company produces and offers integrated solutions.

LS ELECTRIC Begins Construction of Large-Scale ESS in Hallim, Jeju

LS ELECTRIC has broken ground on an ESS (Energy Storage System) construction project, aiming to stabilize the power grid in Jeju, which faces severe issues of power supply surplus due to the expansion of renewable energy sources like solar and wind.

LS ELECTRIC announced on April 24 that they held a groundbreaking ceremony for the 10MW PCS, 40MWh ESS construction project in Hallim-eup, Jeju City, on the 23rd.

The event was attended by about 50 stakeholders, including residents of the Hallim-eup area where the ESS will be installed, as well as representatives from Korea Power Exchange, Korea Electric Power Corporation, Igis Asset Management, Geonhwa, SPV, and Eco Grid Solution.

This new large-scale, long-duration ESS is anticipated to store excess electricity when renewable energy production is high in the Jeju region and supply it when demand surges, contributing to the stabilization of the power grid.

In November 2023, LS ELECTRIC, in conjunction with partners such as IGIS Asset Management, Geonhwa, and SPV, was selected as the operator for the ‘Jeju Phase 1 Long-Duration BESS (Battery Energy Storage System) Construction Project’ for the Hallim-eup area. The project is scheduled for completion and to start commercial operations in November.

Leveraging its smart energy business capabilities, recognized in both domestic and overseas markets, including Japan and the UK, LS ELECTRIC is leading the EPC (Engineering, Procurement, and Construction) operations and will manage operations for the next 15 years.

An ESS is a system that temporarily stores produced electricity to be used when power is scarce.

ESS is divided into long-duration and short-duration based on the storage period.

Long-duration ESS, typically capable of storing and discharging for more than four hours, is effective in alleviating renewable energy output constraints and stabilizing the grid. Short-duration ESS is primarily used for frequency regulation of volatile renewable sources like solar and wind.

Recently, the importance of long-duration ESS has been increasing as renewable energy production significantly grows, allowing excess electricity produced during the day to be stored and transmitted during periods of high demand.

Jeju, characterized by abundant solar and wind energy, is a prime example, frequently executing output control because electricity generated via renewable sources often exceeds usage.

Son Chang-hee, Head of LS ELECTRIC’s Smart Energy Division, stated, “We will actively communicate with local residents, Korea Power Exchange, Korea Electric Power Corporation, and other stakeholders to complete this project and dedicate ourselves to stabilizing the grid in Jeju. By achieving tangible results in domestic large-scale ESS construction projects, we aim to establish the smart energy business as a definitive future growth engine for LS ELECTRIC.”