Daewoo E&C breaks ground on Korea’s first regional data center

Daewoo Engineering & Construction has begun building the first regional data center in South Jeolla Province, marking the inaugural project under the national push to ease data center concentration in the Seoul metropolitan area.

Named the Jangseong Pine Data Center, the 395.9 billion won ($268 million) project consists of a six-story data center and a two-story operations building, under construction on a 32,082-square-meter site in Jangseong-gun, South Jeolla Province, which is part of a state-supported research and innovation cluster.

Daewoo E&C is participating in the project both as the construction contractor and an equity investor, with completion slated for December 2027.

“As a cornerstone of the AI, cloud and big data era, the Jangseong Pine Data Center will fuel regional development and contribute to strengthening Korea’s global competitiveness,” said Chair Jung Won-ju during the groundbreaking ceremony on Monday.

“We will set a new benchmark for data centers in Korea by delivering the project on time with the highest standards of technology and quality.”

The project highlights Daewoo E&C’s push beyond traditional construction, with direct involvement in development, investment and operations. Amid a sluggish housing market, the company is pivoting toward AI and renewable energy to diversify its portfolio.

In 2023, the Ministry of Trade, Industry and Energy introduced an initiative to promote the regional distribution of future data centers in an effort to prevent power supply shortages and infrastructure congestion.