LS Eco Energy Expands Production in Vietnam
The company is investing 65 billion Korean won to manufacture Ultra Capacitors for international demand.
Updated on Oct. 26, 2026 in Electric Vehicles
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LS Eco Energy is investing 65 billion Korean won to establish new production facilities in Vietnam. The expansion aims to support growing demand for hydrogen fuel cell power systems and AI data centers.
Why it matters
This investment scales up manufacturing capacity for LS Materials to fulfill a 51.5 million dollar supply contract with a U.S.-based hydrogen fuel cell company. The move positions the firm to capitalize on the rapid growth of energy infrastructure markets.
LS Eco Energy plans to hit 150 billion Korean won in annual sales by 2030 through its new production line. The company will utilize technology from LS Materials to produce Ultra Capacitors on an OEM basis.
The players
LS Eco Energy
An energy components firm that is part of the LS Group conglomerate.
LS Materials
An affiliate of the LS Group that specializes in eco-friendly energy storage devices.
LSCV
The Vietnamese subsidiary that will host the new manufacturing capacity.
The details
LS Eco Energy will operate the new facilities through its Vietnamese subsidiary, LSCV. These units will supply components to meet the requirements of modern high-power energy systems.
Timeline
October 13, 2026: LS Materials signed a 51.5 million dollar supply contract.
October 26, 2026: LS Eco Energy announced the capital investment.
April 2027: Mass production is scheduled to commence at the facility.
2030: The company projects annual sales to reach 150 billion Korean won.
Roadmap
The investment reflects a broader strategic shift within the automotive and energy supply chain toward high-performance energy storage solutions. By localizing production in Vietnam, the company aligns with global efforts to secure components for hydrogen and AI-driven infrastructure.
The expansion will increase the global availability of critical components used in hydrogen fuel cell systems. Increased production capacity often helps stabilize supply chain costs for manufacturers relying on these advanced energy technologies.
The takeaway
This capital investment highlights the growing industrial demand for specialized power storage components in clean energy applications. Companies are increasingly diversifying their manufacturing footprints to support the scaling of AI and hydrogen technologies.
What happens next
Mass production at the Vietnamese facility is scheduled to begin in April 2027.
Further reading
For broader trends in the industry, visit the Electric Vehicles section.
Source note: This article includes information reported by 조선일보.
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