LS Cable Asia Invests 6.8 Billion to Expand 10-Gigabit Communication Cable Facilities in Vietnam

Investment in Vietnamese Subsidiary... "Production Capacity Increased by More Than 15%"

An employee of LSCV, LS Cable Asia's Vietnamese subsidiary, producing cables. (Photo by LS Cable)

[Asia Economy Reporter Moon Chaeseok] LS Cable Asia announced on the 1st that it invested approximately 6.8 billion KRW in its subsidiary Vietnam LSCV to expand LAN cable (UTP) facilities.

The company reduced its aging 1-gigabit (CAT.5e) cable facilities and expanded 10-gigabit (CAT.6A) facilities. The company expects profit margins to improve as it has increased high value-added products.

LS Cable Asia exports more than 80% of its UTP cable production to the Americas. The expansion was carried out in response to customer requests to increase supply. A company official said, "We expect production capacity to increase by more than 15%."

UTP cables are used for short-distance communication network connections in buildings and apartments. Demand from the Americas accounts for about 40% of the global market. There are many favorable factors such as the US government's increased infrastructure investment and informatization progress.

A company official hinted, "Orders from the Americas increased by more than 30% compared to last year," adding, "We plan to expand business with Americas-customized products such as flame-retardant cables."

LS Cable Asia's cumulative sales for the third quarter reached a record high of 624.2 billion KRW. The company explained that the strong exports to the Americas contributed to the improved performance.

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