The company said it signed a memorandum of understanding with Vietnam Electricity on April 23 at the Korea-Vietnam Business Forum at the JW Marriott Hotel Hanoi. The MOU covers power asset management, grid stabilization and strengthening technical capabilities.
Vietnam’s power demand is rising quickly amid economic growth, industrialization and the spread of data centers and advanced industries. Ensuring grid stability has also emerged as a key task as renewable energy expands. Under its eighth Power Development Plan, or PDP8, the Vietnamese government plans to raise power generation capacity to 221 gigawatts by 2030 and invest about $136 billion.
Hyosung Heavy Industries said cooperation will focus on three areas: a pilot application of its AI-based power asset management solution, ARMOUR+; expanded adoption of STATCOM systems, or static synchronous compensators; and support for education and training to strengthen the design and manufacturing capabilities of EVN subsidiary Dong Anh Electrical Equipment Manufacturing Co., or EEMC.
Also on April 23, Hyosung Heavy Industries signed an MOU with an investment promotion center under Vietnam’s Ministry of Finance to build a high-voltage motor plant. Under the agreement, the company plans to invest about $50 million to build a production base on the site of its Vina Electric plant in Dong Nai province, targeting annual revenue of $100 million. It aims to begin mass production in February 2027 and install facilities to produce 25,000-kilowatt-class high-voltage motors.
High-voltage motors operate at more than 1,000 volts and are used in large industrial facilities such as power plants and industrial complexes. Demand has been expanding for uses including data center cooling systems and equipment linked to renewable energy. Market research firm Omdia forecasts the global high-voltage motor market will grow more than 5% annually to about $6.5 billion by 2028.
Hyosung Heavy Industries said that after establishing a low-voltage motor production base in 2015, the new high-voltage motor plant will broaden its motor business portfolio. It plans to become the first foreign company to carry out the entire high-voltage motor production process in Vietnam.
Hyosung has invested about $4 billion in Vietnam since entering the country in 2008, building six production bases and employing more than 10,000 local workers. The company said sales by its local units account for about 1% of Vietnam’s total exports, contributing to the country’s economic growth and the expansion of global supply chains.
Hyosung Chairman Cho Hyun-joon said, “This agreement is meaningful in that it expands our business foundation in Vietnam into the heavy industries sector,” adding, “We will grow together with Vietnam as a global partner.”
* This article has been translated by AI.
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