Hyosung Deluged with Orders

Company plans to expand output of heavy power transformers as demand climbs

Hyosung Corp. Heavy Industrial PG is a company that isn't feeling the economic slump sweeping the country and the world as orders for its heavy electrical equipment pour in.
Its plant in the Changwon Industrial Complex in South Gyeongsang Province, has been having a hard time filling orders for the product that goes into social capital projects as both the United States and China expand infrastructure projects to create jobs and spur economic growth.
Hyosung Heavy has been deluged with orders for its high voltage transformers. The order target of 1.5 trillion won was already achieved in November as orders came in rapidly from the United States to upgrade its old power grid system. The company is delighted that total orders will exceed the target by 30 percent as orders for the product keep coming in from a number of countries around the world intent on strengthening their power grid systems or build new ones as their SOC projects expand, the company said.
Industry sources said Hyosung is likely to keep its position as the cash cow of the Hyosung Group with its sales, including exports and net income, rising swiftly.
The company's Q3 sales amounted to 897 billion won, up 38.3 percent YoY and operating profit for the first three quarters came to 101.4 billion won, up 119.5 percent YoY.
The sale of heavy electrical equipment accounted for 18 percent of the company's total sales during the first three quarters and 36 percent of operating profit.
Company officials said the hefty increase in orders is owed to the U.S. replacing its old power grid systems, which are more than 40 years old, while China and India are expanding their SOC projects.
Hyosung plans to expand the production capacities of its overseas plants including one in China to be ready for huge increases in orders for heavy electrical equipment. The company recently completed the construction of a high-pressure transformer plant capable of producing transformers for 21,500 Mw.
Hyosung is a major affiliate of the Hyosung Group, one of Korea's leading conglomerates. It has no doubt made a large contribution to the growth of the national economy since its establishment in 1957 with its 30 subsidiaries and satellite offices spanning the globe.
Hyosung's success is mainly attributable to its leading edge production and product technology as well as its unwavering commitment to quality, the company said. The group has been able to engage in diverse fields of business such as apparel, industrial synthetic fibers, specialty chemicals, industrial machinery, construction and development, information technology and international trade.
By combining the corporate pillars of technology and quality together with its overseas network, Hyosung Corp. has become the leading multi-national corporation it is today.
In order to prepare itself for the new challenges of tomorrow, the company has completed a major corporate reorganization into autonomous performance units and performance groups.
Its heavy equipment PG main products include transformers of various sizes. Hyosung developed the 154KV high-voltage transformers in 1968 and then the 345KV and 765KV high voltage transformers for the first time in Korea, greatly contributing to the industrial progress of the country.
Hyosung is the largest maker of transformers in Korea with more than 40 years of design and manufacturing experience. Hyosung transformers are designed to meet specific customer requirements and various international standards such as IEC, ANSI, IEEE, NEMA, BS, JIS, JEC, KS and ESB (KEPCO's standard). Combined with top-notch technical expertise and continuous R&D investment, the company's customer-oriented service ensures Hyosung will remain the best partner for the 21st century with its reliability and competitive technology.
Hyosung transformers, as well as shut reactors and phase-shifting transformers, are manufactured with both core-form and shell-form technology up to 765 KV and 3,000MVA. Hyosung also offers noise transformers, mobile transformers and FACTS transformers for special applications. nw

Chairman S..R. Cho of Hyosung Group.