South Korea’s LS Group held a groundbreaking ceremony on March 15 in Serbia, where it is investing $23 milllion to to build the plant, which it said is designed to produce 12,000 metric tons of magnet wire a year.

Per a report in The Korea Herald, LS Group Chairman Christopher Koo spoke at the groundbreaking ceremony of the magnet wire plant, which is located in Zrenjanin, some 90 km south of the Serbian capital in Serbia. The plant was described as the latest investment by the LS Group, which launched an electric car parts plant in Poland and a solar power plant in Japan.

LS Group Chairman Christopher Koo said the conglomerate’s Serbian investment is a part of growth strategy, and is expecting the Serbian plant to become the production center for its east European operation. It is scheduled to start commercial production in 2019. 

The LS Group notes that its U.S. affiliate, Superior Essex, one of the world's largest wire and cable manufacturers, generated $2 billion in sales last year. It is the sole magnet wire supplier to U.S. electric vehicle producer Tesla.