LS Cable Asia Expands Ultra-High-Speed LAN Cable Facilities at Vietnam Subsidiary

US Infrastructure Expansion Leads to Full Operation of Factories

LSCV UTP Factory Interior

[Asia Economy Reporter Park Sun-mi] LS Cable Asia announced on the 8th that it will invest approximately 6.8 billion KRW in its subsidiary LSCV in Ho Chi Minh City, Vietnam, to expand its gigabit LAN (UTP) cable facilities.

The purpose is to increase exports to the U.S., where demand for ultra-high-speed communication network UTP cables is rapidly growing. The company explained the background of the expansion, stating, "The U.S. accounts for more than 80% of LSCV's communication cable exports, and even running the factory at full capacity cannot keep up."

The U.S. government signed an infrastructure investment bill worth about 1 trillion USD last November, of which approximately 65 billion USD will be used to build broadband communication networks. Baek In-jae, CEO of LS Cable Asia, said, "Once the UTP facility investment is completed by the end of this year, related sales are expected to increase by more than 15%. Especially, by focusing investment on high value-added products such as CAT.6 cables, profitability will also improve."

UTP cables are used for short-distance communication network connections inside buildings such as offices and apartments. They are classified into grades CAT.1 to CAT.8 according to data transmission speed, bandwidth, and standards. CAT.5 is used for 100 Mbps internet, and CAT.5e or higher is used for gigabit internet.

Meanwhile, LS Cable Asia recorded its highest-ever sales of approximately 200 billion KRW in the first quarter of this year. The company explained that performance greatly improved as major export countries such as the U.S. and Europe resumed investments that had stalled due to the COVID-19 pandemic.

This content was produced with the assistance of AI translation services.