LS Cable Eyes Rare Earth Magnet Plant in U.S.: "Securing Strategic Assets"

Contributing to Supply Chain Diversification and Energy Security
Plans to Link Shaped Wire Supply for GM and Hyundai Motor Company

Taihan Cable is considering establishing a rare earth permanent magnet plant in the United States. The company not only aims to expand its business into the strategic materials sector, but also expects to have a positive impact on diversifying Korea's supply chain.

On December 15, Taihan Cable announced that it has selected a potential site in Chesapeake, Virginia, for the establishment of a rare earth permanent magnet plant and is currently reviewing the business feasibility. The company explained that it has begun full-scale discussions on cooperation with the state of Virginia for this purpose. Industry experts believe that the production of key resources for advanced industries will contribute to stabilizing the U.S. supply chain, diversifying Korea's industrial supply chain, and strengthening energy security.

Participants are taking a commemorative photo at the announcement of the new investment plan in Chesapeake, Virginia, USA. LS Cable

Rare earth magnets are considered essential materials across advanced industries, including electric vehicles (EVs), wind turbines, robots, fighter jets, and urban air mobility (UAM). China accounts for about 85% of global production, and there are only a handful of producers in the United States, making supply chain diversification a top priority.

The new plant is likely to be located near the subsea cable factory currently under construction. Its products are expected to be supplied to major automakers and automotive electronics companies. A representative from Taihan Cable stated, "Expanding into the strategic materials sector will become a new growth engine," adding, "We will strengthen our leadership in the global mobility supply chain."

Taihan Cable is working to establish a value chain that covers everything from securing rare earth oxides to metalization and magnet manufacturing. Through its subsidiary LS Eco Energy, the company is securing refined rare earth oxides from countries such as Vietnam and Australia, and is pursuing metalization projects. Taihan Cable is also considering the production of shaped wires and high-quality copper materials in the United States. Since the company has supplied shaped wires to General Motors and Hyundai Motor Company, it is expected that gaining the capability to produce rare earth permanent magnets will further strengthen its competitiveness in core materials for the mobility sector.