LG Electronics plans to step up manufacturing, exports and launch of more locally-tailored products in India, its Global CEO William Cho said on Tuesday, while unveiling his vision for the firm in the country.
After the listing ceremony of LG India at the National Stock Exchange (NSE) at BKC in Mumbai, he said, “India is now at the centre of our Global South strategy. We look forward to advancing our growth here by making for India, making in India and making India global.”
This would include the company launching more factories here, embedding itself even more into the local value chain, using India as an export hub to markets beyond Africa, Asia and West Asia, and expanding its India-focused portfolio. The company is set to launch a new range of consumer appliance products in November, combining “affordability, India-specific features and design elements”, Cho said.
The company is also expanding its operations into new areas such as heating, ventilation and air conditioning (HVAC) solutions, smart-office IDs, and built-in kitchen packages, besides stepping up its focus on information display systems and air conditioners, he said, as part of its push to expand its B2B portfolio. LG India closed FY25 with a top line of Rs 24,367 crore and bottom line of Rs 2,203 crore, a growth of 14.12% and 12.76%, respectively, versus last year.
LG is setting up its third factory at Sri City in Andhra Pradesh at an investment of Rs 5,001 crore, which will begin commercial production by November 2026. The company currently has one manufacturing facility each in Noida and Pune. The third plant is expected to create 1,900 direct and indirect jobs, Cho said.
Exports, which give LG India 6% of its top line, will be taken to newer markets such as Europe in its international push, he added.
The company, which owns 777 brand shops and has 16 regional offices across the country, is increasing its distribution footprint, targeting mainly tier 2 and 3 markets, as penetration for durables, which remains low in India, increases slowly but steadily on the back of income tax and goods and services tax (GST) cuts as well as monetary policy easing, company officials said.
LG has 62.9% share in OLED TVs, 36.9% share in front-loading washing machines, and 43.2% share in side-by-side refrigerators. The company said its localisation rate was 54%, which has been increasing by 3% every year as part of its drive to source from domestic suppliers and align with the government’s ‘Make in India’ mission.