Photograph ) A rendering of LSCMX


■ LSCMX strategically elevated to integrated regional hub for power and mobility in Americas
■ Large-scale investment to expand bus duct facilities, secure early demand from AI data centers
■ Construction of new automotive wire plant completes mobility business portfolio


LS Cable & System announced on the 15th that it will invest approximately KRW 230 billion in LSCMX, its production subsidiary located in the state of Querétaro in central Mexico, to build an integrated production base for power infrastructure and mobility components aimed at the North American market.

The main purpose of this investment is to elevate LSCMX from a simple manufacturing site to a strategic, integrated hub for the Americas that combines its energy and mobility businesses. LS Cable & System plans to significantly expand its existing bus duct facilities and construct a new plant for automotive wires, and thereby increase its share of the North American market across all fronts.

First, to respond to the explosive growth of the North American AI data center market, the company is making a large-scale investment in LSCMX. By expanding its bus duct production facilities, the company aims to maximize production capacity and establish an optimized supply system in order to meet the growing infrastructure demands of global big tech companies.

At the same time, LS Cable & System will broaden its scope into the mobility sector by building a new, large-scale production line for automotive wires. With a full lineup ranging from wires for internal combustion engines to high-voltage wires for electric vehicles, the company will be able to actively respond to the local component requirements of North American automakers.

Notably, the state of Querétaro boasts excellent logistics infrastructure and is home to a cluster of global automakers, so this investment is expected to dramatically improve accessibility to the North American market. 

Furthermore, by localizing core processes to meet the duty-free requirements of the United States–Mexico–Canada Agreement, the company will be able to respond more flexibly and preemptively to unexpected changes in the trade environment, such as the strengthening of protectionism. 

With this investment, LS Cable & System will connect LS GreenLink, its submarine cable plant in Virginia, USA, with its Mexican subsidiary and complete its North American Production Optimization System. In addition, through a strategic division of labor featuring high-value-added products from the US mainland and cost-competitive products from Mexico, the company will build an unrivaled position in the North American market.
 
“LSCMX will serve as a key strategic point that will maximizes the synergy between our energy and mobility businesses,” said an official from LS Cable & System. “Through optimization between our North American production bases, we will leap forward as a core partner for the global big tech and automotive industries.”
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