LS Cable & System Asia (LSCS), which emerged as No. 1 cable manufacturer in Vietnam 20 years after foraying into the market, will set up a joint production facility in Myanmar with its subsidiary Gaon Cable. LSCS and Gaon Cable have decided to establish LS-Gaon Cable Myanmar (LSGM) to roll out low voltage cables and overhead wires with investment of US$18 million each. Payment of investment is set to take place on May 31, 2017 in view of Myanmar’s market conditions and other reasons.
LSGM plans to produce LV cables and overhead wires which are used for power transmission towers. Some Southeast Asian countries including Vietnam seek to replace transmission towers with underground cables. Myanmar still relies heavily on transmission towers for the supply of electricity.
LS-Gaon Cable Myanmar will be based in the Thilawa Special Economic Zone, which accounts for 85% of Myanmar’s exports and imports. The Thilawa Special Economic Zone, located on the outskirts of Yangon, is one of three special economic zones in Myanmar, and had become fully operational in September 2015. Inside Thilawa SEZ, (where) both (the) hard and soft infrastructure – from roads and utilities to supporting services such as maintenance – are developed up to the international standard. It is located at around 20 km south-east of Yangon, the biggest commercial city of Myanmar. Many Japanese enterprises like Mitsubishi and Sumitomo set up facilities in Thilawa SEZ.