Korean cable manufacturer Taihan Cable & Solution will invest 75 billion won ($54.2 million) to build Vietnam’s first extra-high voltage cable factory, betting on the Southeast Asian nation’s accelerating electricity demands.
The facility in Dong Nai Province will produce 400-kilovolt cables starting in 2027, according to a company announcement Wednesday. Vietnam’s power demand is projected to grow 10-12% annually through 2030, driven by rapid industrialization and infrastructure development.
Vietnam requires approximately $134.7 billion in power sector investment by 2030 to more than double its electricity generation capacity. The government’s Power Development Plan calls for significant transmission network upgrades, creating opportunities for cable manufacturers.
Taihan’s subsidiary Taihan Vina, established in 2005, generated 140.3 billion won ($101.2 million) in sales last year. The new plant will employ over 100 local workers and serve as an export hub targeting Europe and the Americas, the company said.
However, Taihan faces regulatory scrutiny elsewhere. The World Bank debarred the company for 30 months in April 2024 due to collusive practices in a Mongolia project, raising questions about its compliance standards.
The investment reflects growing foreign interest in Vietnam’s infrastructure boom, though the country’s complex regulatory environment and grid integration challenges remain concerns for investors.
