Photograph) LS Eco Energy CEO Lee Sang-ho (left) and Donghae City Mayor Shim Gyu-eon pose for a photo at the MOU signing ceremony for investment in the port-style free trade zone of Donghae Port held at Donghae City Hall in Gangwon Province on the 5th.


■ Entered into MOU for investment in port-style free trade zone of Donghae Port
■ Will expand de-Sinicization rare earths supply chain and establish permanent magnet value chain
■ Expecting record performance based on increased cable exports to Europe and the U.S.


LS Eco Energy (CEO: Lee Sang-ho) will cooperate with Donghae City for the establishment of a rare earths logistics hub. 

The company announced on the 5th that it had entered into an MOU with Donghae City for investment in a port-style free trade zone at Donghae Port.

This MOU is aimed at inducing investment from enterprises to the area around Songjeong-dong and Naan-dong (333,000㎡), for which Donghae City is hoping win designation as a port hinterland and a port-style free trade zone. 

The main goal is to activate Donghae Port by encouraging enterprises to build their plants and warehouses in the area. Donghae City will provide a range of incentives to enterprises, including low rental rates and tariff deferment. 

Once the area in which LS Cable & System’s Donghae Plant is located is designated as a free trade zone, LS Eco Energy will utilize Donghae Port as a rare earths logistics hub. 

“With China strengthening its control on the export of rare earths, the level of interest in the de-Sinicization supply chain, which includes Vietnam and Australia, is increasing,” said LS Eco Energy CEO Lee Sang-ho. “We will expand our rare earths business by strengthening cooperation with Donghae City.” 

LS Eco Energy was the first in Korea to enter into a contract with a Vietnamese mining company to secure rare earth oxides, and it is currently establishing a rare earth permanent magnet value chain through cooperation with LS Cable & System. Having recorded its largest ever operating profit in the first quarter based on the expansion of ultra-high-voltage cable exports to North America and Europe, the company is expecting to achieve a record annual performance.