LS Eco Energy Invests in Large Bus Ducts for AI Data Centers

LS Eco Energy is expanding its power infrastructure business by investing in large bus ducts for AI data centers (AIDC).

On October 7, LS Eco Energy announced that its Vietnamese subsidiary, LSCV, will invest approximately 8 billion won to establish new production facilities for epoxy-insulated bus ducts.

The epoxy type is a high-value product suitable for large-scale power supply, requiring high insulation and durability. Mass production is set to begin in the second half of 2027, doubling the overall production capacity by adding epoxy types to the existing film types.

LSCV plans to enhance its competitiveness in securing orders, particularly in the Asian market, by expanding its product range to meet the diverse specifications of AIDC customers.

LS Cable & System is utilizing its U.S. subsidiary, LSCUS, as a base for North American operations and is also constructing a production facility in Mexico. The production capacity at its Gumi plant in South Korea and LSCV is being expanded to strengthen its bus duct business for AIDC across the Americas and Asia.

Investment from global tech giants in Southeast Asian data centers is also gaining momentum. Microsoft and Google have announced investments of $2.2 billion and $2 billion, respectively, in Malaysia to enhance AI and cloud infrastructure. Consequently, the demand for power infrastructure needed for data centers is expected to continue rising.

Since establishing its bus duct production facilities in 2018, LSCV has expanded its business focus to plants and high-rise buildings. Recently, it has broadened its supply sources to include global tech hyperscale data centers in Indonesia and Malaysia, resulting in a more than threefold increase in bus duct sales in the first half of this year compared to the same period last year.

Lee Sang-ho, CEO of LS Eco Energy, stated, "Through this investment, we aim to simultaneously enhance product competitiveness and production capacity, accelerating our entry into the Asian AI power infrastructure market."