LS Electric Breaks Into Demanding Japanese Market... ESS Orders Surpass 61.2 Billion Won

Record-Breaking Performance Among Korean Companies in Japan
Accelerating Entry into Strategic ESS Markets in the US and Europe

LS Electric has achieved the largest contract among Korean companies in Japan, which is considered one of the world's top four energy storage system (ESS) markets, and is now expanding its local business. Building on the reliability of its business, based on customized products, the company plans to accelerate its efforts to penetrate global ESS markets such as the United States and Europe.

LS Electric announced on January 8 that its total ESS orders in Japan last year reached 61.2 billion won. The company has expanded its business portfolio across the entire ESS value chain in Japan, including engineering, procurement, and construction (EPC) projects, the supply of individual products such as power conversion systems (PCS), and investments in renewable energy power plants. In particular, LS Electric explained that it has been recognized in Japan’s notoriously demanding power market for its technological capability to supply the entire lineup of core ESS equipment, excluding batteries, and for its consistently accumulated business expertise.

A representative from LS Electric is inspecting the grid-connected ESS installed in Hokkaido, Japan. LS Electric

This achievement is significant as it is the result of a long-term localization strategy. In 2017, LS Electric successfully built the Chitose Solar Power Plant in Hokkaido, Japan’s first solar-ESS linked renewable energy plant, marking the beginning of its full-scale entry into the local ESS market.

Since then, the company secured nearly half of the Tokyo Metropolitan Government’s subsidy-linked ESS projects in 2024, expanding its business base in the capital region. In April last year, it won the Watari ESS project in Miyagi Prefecture, involving a 20MW PCS and a 90MWh battery, with a project value of 36 billion won. In November, it secured 19 billion won in the ESS system integration (SI) sector, supplying PCS and other power equipment for project development, thereby expanding its business across Japan.

LS Electric is actively pursuing a localization strategy centered on its Japanese subsidiary, focusing on close-knit local sales and customized product development. Its design capabilities optimized for the characteristics of Japan’s power grid, stable construction and operational experience, and quality competitiveness essential for the long-term operation of renewable energy have earned the company trust in the market.

The Japanese ESS market is rapidly growing due to the expansion of renewable energy and increasing demand for power grid stabilization. The market size is expected to grow from 343.6 million dollars (about 49 billion won) in 2024 to 1.09649 billion dollars (about 159 billion won) by 2030, indicating significant potential.

LS Electric plans to accelerate its business expansion in key ESS markets such as the United States, Japan, and Europe. The global ESS market is expected to expand from 46.7 billion dollars (about 6.774 trillion won) in 2024 to approximately 187.1 billion dollars (about 27.139 trillion won) by 2033, in line with the energy transition and the expansion of renewable energy. It is anticipated that ESS will become a core solution for energy infrastructure in the future.

A representative from LS Electric stated, “Achieving the largest contract among Korean companies in Japan, a major global ESS market, is a testament to our technological capabilities, business expertise, and localization strategy,” adding, “We will not only expand our business in Japan with customized solutions but also accelerate our efforts to target overseas markets such as the United States and Europe.”