LS Electric is set to significantly expand its US presence with a $168 million investment aimed at boosting its switchgear manufacturing capacity. This strategic move underscores the Korean power equipment manufacturer’s commitment to strengthening its footprint in the North American market.
The investment will primarily focus on tripling the production capacity at MCM Engineering II in Utah, one of LS Electric’s two existing US switchgear sites, the other being the Bastrop Campus in Texas.
The Utah facility will undergo a major expansion, increasing its size sixfold from 13,233 square meters to 79,338 square meters. The project includes the construction of three new production buildings, slated for completion by 2030, demonstrating LS Electric’s long-term vision for growth in the region.
This expansion has earned LS Electric a valuable incentive: tax reduction benefits from the Utah Inland Port Authority. This incentive will reduce the increase in property taxes, related to the business expansion, by up to 30 percent over the next 25 years, providing a significant financial advantage.
This Utah expansion is part of a larger $240 million investment plan announced by LS Electric last year. The plan focuses on establishing a comprehensive local value chain in North America by 2030, encompassing sales, engineering, production, and services.
In addition to expanding its manufacturing capabilities, LS Electric is also establishing a local sales and service office in Dallas, Texas, and a business base in Atlanta, Georgia, further solidifying its presence alongside its existing Chicago office and the LA West Branch.
“Utah’s skilled workforce, robust infrastructure, and business-friendly regulatory environment make it an ideal location for LS Electric to further develop our advanced switchgear manufacturing capabilities,” stated an LS Electric official.
“This campus expansion project will improve our responsiveness to the North American market and accelerate the growth of our global power infrastructure business.”
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