HD Hyundai Electric has signed a long-term supply agreement worth up to KRW1.12 trillion (US$745.7 million) with a global technology company, as it expands its presence in North America’s data centre power infrastructure market.

Under the master agreement, the South Korean manufacturer will supply power distribution and power equipment for data centres being built by the customer in North America. The company said the contract includes KRW553.9 billion of distribution equipment and KRW567.3 billion of power equipment.

Orders will be placed in stages in line with the customer’s data centre construction schedule, with deliveries expected to run through 2028.

The agreement covers a package of power infrastructure equipment used in large-scale data centre operations. HD Hyundai Electric said supplying distribution and power equipment together is intended to improve design consistency and reduce risks around delivery, quality control and after-sales service.

The contract adds to growing demand for grid and power equipment from data centre developers in North America, where utilities, operators and technology companies are working to secure electrical infrastructure for large-scale campuses.

Demand for data centre power infrastructure is rising sharply, led by North America. According to the International Energy Agency, global electricity consumption from data centres is forecast to more than double from 415TWh in 2024 to 945TWh by 2030.

In the US, data centres are expected to account for around half of the increase in electricity demand through 2030. The growth of large-scale data centre campuses is increasing the need for power infrastructure capable of supporting reliable electricity supply. 

“This contract is the result of meeting the stringent data centre quality standards of global big tech companies and receiving recognition for the competitiveness of HD Hyundai Electric’s distribution and power equipment,” said HD Hyundai Electric spokesperson.

The company will continue to strengthen its position in the data centre power infrastructure market by expanding the supply of customised equipment packages across a broader range of products.