Hyosung to become first Korean firm to build ultra-high-voltage circuit breaker plant in the United States

Hyosung Heavy Industries will become the first Korean power equipment manufacturer to establish an ultra-high-voltage circuit breaker production base in the United States, the firm announced Sunday.

Hyosung HICO — a subsidiary of Hyosung Heavy Industries — inked a deal to establish a joint venture with a subsidiary of Quanta Services, a Texas-based energy infrastructure company.

The joint venture, which is set to kick off in July, will begin producing ultra-high-voltage circuit breakers ranging from 72.5 kilovolts to 800 kilovolts at Quanta Services’ plant in Canonsburg, Pennsylvania, starting in October.

Quanta Services is one of the largest U.S. engineering, procurement and construction providers specializing in power and energy infrastructure, with a client network and business footprint all across the United States.

With the new venture, Hyosung Heavy Industries is set to become the first Korean corporation to secure both transformer and circuit breaker manufacturing capabilities in the United States.

“The move is designed to capitalize on surging demand for power equipment fueled by the rapid expansion of data centers in the United States, the growth of AI and the drive to modernize the aging [U.S.] power grid,” Hyosung Heavy Industries said. “It is our strategy to gain a competitive advantage in the supply chain within the U.S. market.”

Hyosung Group Chairman Cho Hyun-joon orchestrated the establishment of the joint venture. In March, Cho secured the final agreement during his in-person meeting with Quanta Services’ CEO and senior executives in the United States. Since last year, Cho has pushed for closer cooperation with the U.S. energy firm as he believed that the partnership was essential to expanding Hyosung’s presence in the U.S. power market.

“Over the years, the two companies have built a strong partnership through cooperation spanning circuit breakers, substation equipment, transmission projects and renewable energy integration,” Cho said.

“The rapid expansion of AI is making investment in power infrastructure more important than ever, and the joint venture will allow us to build on our combined strengths and expand our role — as a total solution provider — across the U.S. power sector."

Hyosung Heavy Industries has already invested $300 million in its ultra-high-voltage transformer plant in Memphis. The company has positioned its facility there as a key hub for its expansion in the U.S. market.

The Memphis plant is expected to rank among the largest transformer production facilities in the United States once ongoing capacity expansion is completed.

BY NAM YOON-SEO [[email protected]]