Level 3 DC fast charger. (Image courtesy of LG Electronics)
SEOUL, April 22, (Korea Bizwire) — LG Electronics is pulling out of the electric vehicle (EV) charging solutions market just three years after entering the sector, citing prolonged demand stagnation and intensified price competition. The move comes as part of a broader strategic restructuring aimed at concentrating on more resilient and scalable businesses.
In a statement issued April 22, 2025, LG said it will wind down operations in its EV charger business, formerly overseen by its Energy Solutions (ES) division. Its EV charger manufacturing subsidiary, HiEV Charger — formerly AppleMango — was officially dissolved following a shareholder resolution the previous day.
All employees previously engaged in the business will be reassigned within the company, and the production facility, including the Texas plant launched in early 2024 as its first overseas EV charger hub, has already ceased operations.
Despite the withdrawal, LG pledged to honor existing service and maintenance commitments to customers. The company is exploring alternative uses for the shuttered plant, including repurposing it for other manufacturing or as a logistics center.
LG first entered the EV charging market in 2022 through its acquisition of HiEV Charger and rolled out charging infrastructure at Emart stores and other locations in South Korea, later expanding to the U.S. in 2024. The venture had been considered one of LG CEO Cho Joo-wan’s key future growth pillars, with ambitions to scale into a trillion-won business by 2030.
However, deteriorating market conditions undercut those plans. Global EV demand softened amid an economic downturn, while the election of President Donald Trump led to the suspension of EV charging infrastructure subsidies in the United States — a critical blow to expansion efforts.
HiEV Charger posted operating losses of 7 billion won in 2023 and 7.2 billion won in 2024 and received a “disclaimer of opinion” on its most recent financial statements — a red flag for investors.
Going forward, LG’s ES division will focus on its heating, ventilation, and air conditioning (HVAC) business, including residential and commercial air conditioners, chillers, heat pumps, and data center cooling solutions. The company also plans to explore adjacent sectors where it can leverage existing technological strengths to identify future growth engines.
“At one point, we aggressively pursued emerging businesses despite uncertainty,” CEO Cho said at LG’s annual shareholder meeting last month. “But in a rapidly shifting market environment, that approach no longer guarantees success. We will now adopt a more selective and focused model rooted in core products and technologies.”
Kevin Lee (kevinlee@koreabizwire.com)
