Seoul: LS Electric Co., a South Korean electrical equipment manufacturer, has announced that its subsidiary has secured a significant 106.6 billion-won (US$70.2 million) contract to supply ultra-high-voltage transformers to a U.S. energy infrastructure company.

According to Yonhap News Agency, the subsidiary, LS Power Solution, will supply 345-kilovolt transformers for a microgrid project aimed at powering a data center operated by a major U.S. tech company in the central United States. Deliveries for this project are slated to begin in the fourth quarter of 2027 and are expected to continue through the first half of 2028.

Investment in power infrastructure across North America is on the rise, driven by increasing electricity demand due to the expansion of artificial intelligence and cloud computing technologies. The U.S. market for data center power infrastructure is anticipated to grow at an average annual rate of 16 percent, with projections estimating an increase from 13 trillion won in 2025 to 56 trillion won by 2035.

An official from LS Power Solution noted that this latest contract is anticipated to enhance the company's brand competitiveness within the rapidly growing data center microgrid market.