LG Electronics India expects to grow by 10% in FY24. The company is also exploring new business categories such as healthcare and water purification. LG Electronics India is a formidable brand in India, operating in various segments such as consumer electronics, home appliances, HVAC, and IT hardware. The company is also working on India-centric products in segments such as air conditioners, making them more affordable.
LG Electronics India, a wholly-owned subsidiary of South Korea-based LG Electronics, expects to grow by 10% in FY24. The company is also exploring new business categories such as healthcare and water purification. LG Electronics India is the second-largest market for LG Electronics globally after the US. The company has two manufacturing units in India, one in Ranjangaon, Pune, and the other in Greater Noida.
In FY22, LG Electronics India’s profit after tax was Rs 1,174.7 crore, and its total income was Rs 17,171.3 crore. Its exports in FY22 were worth Rs 976 crore.
The company is working towards increasing the domestic value addition of India-made products and is even inviting its sister concerns from South Korea to set up plants for component manufacturing here. It is also looking to increase exports to other countries from India by enhancing its cost competitiveness and adding more products to its offerings.
LG Electronics India is a formidable brand in India, operating in various segments, such as consumer electronics, home appliances, HVAC, and IT hardware. The company is also working on India-centric products in segments such as air conditioners, making them more affordable.
Regarding LG Electronics India’s exports, Jeon said they’re still in the single digits but will grow. Increasing exports requires more localization and more products. However, he also added that LG Electronics has several factories globally that compete with each other. To increase exports, the cost competitiveness of India-made products would have to be enhanced.
“On the cost front, we need more efforts in terms of localization and more products for exports,” he said, adding it’s not easy, “but it’s very clear that we want to increase exports from here. We need to increase the volume, then the cost of production will be down.”This can also benefit Indian consumers.
Regarding the sourcing of components, Jeon said the localization rate is high in India but added that the industry still needs more support from the Indian government. “When (global) suppliers want to invest in India, it should also support them for stable operations. The company as LG Chemical also started to manufacture to support the local production,” said Jeon “We will invite more foreign countries to invest here.”
Over the Production Linked Incentive Scheme (PLI) scheme floated by the Indian government, Jeon said: “We have invited our sister companies. Those companies were sub-contractors in Korea, and they are also coming to supply us here.”
LG Electronics India on Wednesday launched its 2023 OLED TV line-up of 21 models across different variants. Among them are the only 8K OLED Z3 series, the OLED Evo Gallery edition G3 series, the OLED Evo C3 series, the OLED B3 and A3 series TVs, and the OLED Evo Gallery edition G3 series. Its price ranges from Rs 1.19 lakh to Rs 75 lakh for a rollable TV.
LG Electronics India is a major player in the Indian market and is expected to continue to grow in the coming years. The company is investing in new manufacturing facilities and product development and is also exploring new business opportunities. This is likely to help the company maintain its market leadership in India.
