As the legal battle over technology theft between LS Cable and Daehan Cable escalates into a criminal investigation, the two companies are fiercely competing in the high-voltage power network market. Whenever one company announces a contract win, the other quickly responds, reflecting a tit-for-tat rivalry in the HVDC projects in Singapore and the East Coast metropolitan area.
According to industry sources on June 17, LS Cable and Daehan Cable have recently secured contracts for high-voltage power networks in Singapore and the East Coast metropolitan HVDC project. The two companies have been embroiled in a legal dispute over allegations of technology theft for several years. The police have recently referred the case to prosecutors, who are currently reviewing whether to file charges.
The competition ignited in Singapore, where Daehan Cable announced on June 8 that it had won a project worth approximately 140 billion won to supply 400kV and 230kV OF high-voltage cable systems to the Singapore Power Authority. Over the past two years, Daehan Cable has secured projects worth around 1 trillion won in Singapore, emphasizing its strong position in the local high-voltage power network market.
LS Cable quickly countered this announcement, stating on June 17 that it had also secured a high-voltage power network project worth about 140 billion won from the Singapore Power Authority. LS Cable will supply 400kV and 230kV cables and highlighted that it has maintained the largest market share in Singapore's high-voltage cable sector since 2010, in partnership with LS Eco Energy.
The rivalry extended to the East Coast metropolitan HVDC project as well. On June 15, LS Cable announced that it had won a turnkey contract for the second phase of the HVDC project being pursued by Korea Electric Power Corporation (KEPCO). Following its participation in the first phase in 2024, LS Cable will now be involved in the second phase, with a total supply value of approximately 234 billion won.
Just two days later, on June 17, Daehan Cable announced its own contract win for the same East Coast to Dongseoul HVDC project, valued at 146.3 billion won. Daehan Cable will manufacture and supply 500kV HVDC XLPE cables and related materials, executing the project on a turnkey basis. This response from Daehan Cable came shortly after LS Cable's announcement regarding the East Coast project, showcasing their competitive stance in this critical national power network initiative.
Both companies are emphasizing similar technological strengths. LS Cable touts itself as the only company in South Korea to commercialize HVDC cables and high-voltage underwater cables, highlighting its global achievements, including the commercialization of the world's largest transmission capacity 525kV 90℃ HVDC cable and projects like the Tennet project in Germany.
Daehan Cable emphasizes its experience in developing and commercializing the first 500kV power network in South Korea and expanding HVDC technology. It showcases its achievements in developing 500kV current-type HVDC and 525kV voltage-type HVDC cable systems, along with its performance in international markets such as the United States and the United Kingdom.
Industry experts believe that this contract competition is evolving beyond mere performance announcements into a battle for technological credibility. With the allegations of technology theft now in the hands of prosecutors, both companies must demonstrate their capabilities in high-voltage and HVDC technologies to the market. Announcing contract wins serves as both a defense of their technology and a display of their competitive edge.
The high-voltage power network market is rapidly expanding due to the growing demand for AI data centers and renewable energy integration. HVDC technology, which is advantageous for long-distance, high-capacity transmission, is considered essential for building national power networks and connecting offshore wind power. As the supercycle in power infrastructure gains momentum, both the Singapore and East Coast projects are markets that neither company can afford to miss.
However, the allegations of technology theft remain a significant variable. LS Cable claims that its trade secrets have been unfairly acquired, while Daehan Cable has denied the related allegations. Depending on the prosecutors' decision on charges and the outcomes of future trials, the competitive landscape between the two companies could be significantly affected.
An industry insider stated, "The high-voltage cable market is one where technological capability and execution experience determine contract wins. Regardless of the legal disputes, both companies will likely intensify their efforts to showcase their contract achievements in major domestic and international projects to gain the upper hand."
* This article has been translated by AI.
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