South Korean power equipment manufacturer LS Electric is deepening its ties with communities in southern Utah as it expands production to meet surging demand for equipment used in North American AI data centers, the company said Tuesday.
CEO Ja-Kyun Koo has emphasized a management strategy based on long-term trust with local communities as the company grows its operations in Cedar City through LS Electric Utah, formerly known as MCM Engineering II. LS Electric acquired the operation in 2022 and has since expanded its production facilities there, the company said.
Koo has highlighted a Korean War engagement involving soldiers from southern Utah as a historical link between the state and South Korea. On May 26, 1951, 240 members of the Utah National Guard’s 213th Armored Field Artillery Battalion encountered a Chinese force of more than 4,000 troops near Gapyeong in Gyeonggi Province. The engagement is known in Utah as the “Miracle at Kapyong,” and accounts maintained by the Utah National Guard say the soldiers fought off the advancing force without losing a member of the unit in the battle.
Families and descendants of those veterans remain part of the community around Cedar City, where LS Electric Utah is based.
“Remembering and honoring the heroes who created the Miracle at Kapyong is a responsibility that companies should fulfill,” Koo said in a statement.
LS Electric this year sponsored a Southern Utah University program supporting Korean War veterans, and paid travel expenses for surviving veterans who visited South Korea in May for a ceremony marking the 75th anniversary of the Utah unit’s action near Gapyeong.
The company has also supported the development of science, technology, engineering and mathematics education facilities at Southern Utah University as part of efforts to train workers for the region’s future industries.
LS Electric joined a separate initiative led by the Korea Chamber of Commerce and Industry to connect Korean companies operating in the United States with veterans who previously served with U.S. Forces Korea. The company said the program could help Korean businesses recruit workers who already have experience with South Korea and its culture.
The community engagement has accompanied a sharp increase in orders for equipment used in North American data centers, driven by the AI boom. Korea Investment & Securities said LS Electric secured two North American data center equipment projects during the second quarter with a combined value of 489.3 billion won, about $318 million.
The brokerage expects the company’s North American data center orders to increase by more than 50% from a year earlier and surpass 1.5 trillion won, about $974 million, in 2026.
MSI previously reported that South Korea’s Hyosung Heavy Industries, another power equipment maker, formed a joint venture with Houston-based Quanta Services to produce circuit breakers in Pennsylvania, as Korean manufacturers expand their presence in the U.S. power grid market.
“Today, our firm footing in the U.S. market rests on the noble sacrifice of Utah veterans who fought for freedom and peace,” Koo said. He said businesses built on strong relationships with their communities would be better positioned to achieve stable, long-term growth.