West Coast HVDC Completion Target Set for 2030... Orders to Be Placed in First Half of Next Year

440km Subsea Cable Deployment Highlights Need for Early Orders
Global Supply Shortage Intensifies... Spotlight on LS Cable & System and LS Marine Solution
Swift Orders Become Key, as Seen in the UK... Growing Trend of Excluding Chinese Equipment

The government has moved up the completion date for the first phase of the West Coast Energy Expressway, based on high-voltage direct current (HVDC) transmission, from the originally planned 2031 to 2030, drawing growing attention from related industries.

According to industry sources on September 16, the Ministry of Trade, Industry and Energy announced the "15 Major Super-Innovation Projects," which include energy, power grids, and advanced materials, at the "Growth Strategy Task Force and Economic Ministers' Meeting" held on August 22. The ministry also stated its intention to complete the West Coast HVDC project ahead of schedule by 2030 to stabilize the power grid in the Seoul metropolitan area and nationwide.

This project, which involves a total of 440 kilometers of submarine cable, will install two round-trip circuits over approximately 220 kilometers from Saemangeum in North Jeolla Province to Hwaseong in Gyeonggi Province, establishing a 2 GW-class power grid. The manufacturing and installation of the cables require specialized vessels and advanced construction technology.

Industry insiders believe that in order to meet the 2030 completion target, orders must be placed in the first half of next year. One industry official stated, "Marine surveys, securing materials, production and testing, transportation, and installation will take at least four to five years," adding, "The selection of contractors must take place in the first half of next year."

LS Marine Solution Submarine Cable Laying Vessel. LS Marine Solution

The global HVDC market is already experiencing supply shortages. There are only a limited number of companies capable of producing cables and converters, and with a surge in power grid investments, the market has shifted in favor of suppliers.

For example, the first phase of the United Kingdom's Eastern Green Link project (scheduled for completion in 2029) began construction in 2024, and the fourth phase (scheduled for completion in 2033) has already finalized contractor selection. Experts believe that if bidding for domestic projects is delayed, scheduling setbacks will be unavoidable.

HVDC submarine cables must be manufactured in single lengths of at least 50 kilometers, and since installation and connections must be carried out in marine and subsea environments, the level of difficulty is high. The lengthy production and construction periods highlight the necessity for early ordering.

In South Korea, LS Cable & System and LS Marine Solution are expected to benefit, as they possess both the supply and installation experience for submarine HVDC cables. In particular, LS Marine Solution has recently begun constructing an ultra-large HVDC-dedicated cable laying vessel, further strengthening its capabilities.

Meanwhile, in the global market, concerns persist regarding the safety and security risks of Chinese-made HVDC equipment. Europe and the United States are excluding Chinese equipment from offshore wind and HVDC projects, and the prevailing interpretation is that, under the World Trade Organization (WTO) security exception clause (GATT Article 21), such actions do not constitute violations of trade rules. This trend is strengthening the position of domestic companies with technological capabilities.