LS C&S Asia, a cable manufacturer from South Korea, is partnering up with a state-owned enterprise in Vietnam and entering the nation’s subsea cable market.

LS C&S Asia announced on October 12 that the company has signed an MoU for a submarine cable business partnership with PetroVietnam Technical Services Corporation (PTSC) of Vietnam.

PTSC is a subsidiary of the state-owned petroleum gas company, PetroVietnam, and it provides technical services including facility operations, maintenance, and research for the energy and petroleum industries.

Starting with Vietnam, LS C&S Asia and PTSC will explore various business opportunities across ASEAN countries.

Vietnam is currently in the process of building an offshore wind farm with an output of approximately 10GW, which is due for completion by 2030. In terms of output, this wind farm will be among the top 5 in Asia, following others in Korea and Taiwan.

The demand to connect power grids between ASEAN countries is also rising. PTSC is currently working on building a submarine power grid between Vietnam and Singapore, and the two companies expect to use such business opportunities to expand into the surrounding region.

A spokesperson for LS C&S Asia said, “This MoU is significant in the sense that LS C&S Asia is aiming to become a first mover in other submarine cable markets based on its 30 years of local business experience and capabilities.”

LS C&S has been expanding its reach in the submarine cable market through the overseas growth of its subsidiaries, including that of LS Marine Solution into Taiwan, which was announced recently.

Vietnam Investment Review