LS GreenLink plans a Virginia submarine cable factory and waterfront manufacturing base

Submarine power cable manufacturing — Submarine power cable production

LS GreenLink USA plans to invest more than $680 million in a high-voltage direct-current submarine cable factory in Chesapeake, Virginia, in the United States. The subsidiary of LS Cable & System, based in South Korea, expects the 750,000-square-foot facility to serve offshore wind and renewable-energy projects. Its July 2024 plans envisaged more than 330 jobs and operations beginning in 2027.

The company selected a 98-acre brownfield property within the Hampton Roads Beltway, beside the Elizabeth River. LS GreenLink is wholly owned by LS Cable & System. The proposed factory forms part of the parent’s international expansion strategy, with submarine power cables intended for customers in the global energy market. The company’s 9 July announcement put the expected start of operations at the end of 2027.

LS Cable and System

A waterfront location after a two-year search

Managing Director Patrick Shim worked with site-selection adviser Evergreen Location Strategies to assess locations for more than two years. The final two candidates were both in Hampton Roads, and the company evaluated more than thirty site requirements. Deep Water Terminal offered proximity to Virginia’s ports and access to interstate highways.

Shim also identified access to military veterans as a factor in choosing the area. Nearby installations include Naval Station Norfolk, Naval Air Station Oceana and Joint Base Langley-Eustis. LS Cable & System already has a factory in Tarboro, North Carolina, where a separate $26.9 million expansion was under way.

Factory announcement and planned operations start — Announcement and planned start of operations

Investment incentives and local employment

Chesapeake’s economic-development announcement valued the planned project at $681 million and specified 338 new jobs. City Manager Chris Price put the expected average annual salary at approximately $76,000 for the full-time positions. The city described the development as its largest capital investment for an individual project.

Before the project announcement, LS GreenLink received an allocation of $99,060,000 in Qualifying Advanced Energy Project Credits under Section 48C. The programme originated in the American Recovery and Reinvestment Act of 2009 and was expanded by the Inflation Reduction Act of 2022. Chesapeake’s development team worked with state and regional partners on the project for two years, Deputy Director and Project Manager Preston Wilhelm explained.

Hampton Roads tidal waterfront — Hampton Roads waterfront

State support and project partners

Governor Glenn Youngkin approved a $13.2 million Commonwealth’s Opportunity Fund grant to help the city support the project. LS GreenLink was also eligible for benefits under the Port of Virginia Economic and Infrastructure Development Zone Grant Program. The Virginia Economic Development Partnership worked with Chesapeake and the Hampton Roads Alliance on securing the investment. The announced support included distinct instruments:

Federal investment tax credits allocated to LS GreenLink.
A state grant supporting Chesapeake’s role in the project.
Eligibility for the port-related development grant programme.

Mayor Rick West welcomed the proposed factory and anticipated further collaboration with South Korean companies. Economic Development Director Steven Wright linked the investment to Chesapeake’s logistics and existing manufacturing base. The planned output was advanced subsea cable for offshore wind farms and other renewable-energy projects, with Deep Water Terminal providing access to markets and resources.