This image provided by LG Electronics Co. shows a rendered image of the company’s envisioned new plant in Sri City, India. (Yonhap)
SEOUL, May 8 (Korea Bizwire) — In a strategic move underscoring its long-term commitment to one of the world’s fastest-growing consumer markets, LG Electronics is set to break ground on a sprawling new home appliance factory in eastern India.
The South Korean electronics giant announced Thursday that it will invest $600 million to build the advanced manufacturing facility in Sri City, a rising industrial corridor in the state of Andhra Pradesh.
A groundbreaking ceremony, scheduled for later this week, will bring together senior LG executives and key local dignitaries, including Andhra Pradesh’s Minister for Human Resources Development, Nara Lokesh.
Slated for completion by the end of 2026, the plant is poised to become a cornerstone of LG’s regional strategy. Once operational, it will roll out 800,000 refrigerators, 850,000 washing machines, 1.5 million air conditioners, and 2 million air conditioner compressors annually.
These products won’t just serve India’s vast consumer base — they’ll also be exported to neighboring markets such as Bangladesh and countries across the Middle East.
“This facility represents more than just a manufacturing site,” said Lyu Jae-cheol, president of LG’s home appliance division. “It’s a milestone that reflects our dedication to India — not just as a market, but as a partner in innovation, growth, and long-term value creation.”
The Sri City plant will be LG’s third major production hub in India, joining existing factories in Noida (Uttar Pradesh) and Pune (Maharashtra). It marks a critical step in localizing supply chains and scaling up output to meet soaring demand for modern home appliances among India’s rapidly expanding middle class.
As global companies reassess supply chains amid shifting geopolitical and economic currents, LG’s investment also signals confidence in India’s manufacturing infrastructure and its role as a production base for the broader region.
With this move, LG aims not only to consolidate its leadership in India’s consumer durables sector but also to cultivate deeper brand affinity through local production and innovation. “Our goal is to become a truly national brand in India,” Lyu said. “And this plant will help us get there.”
Kevin Lee (kevinlee@koreabizwire.com)
