SEOUL, Sept. 27 (Korea Bizwire) — LG Electronics Inc. said Wednesday it plans to spend 600 billion won (US$527 million) on renovating its aged kitchen appliances production lines in South Korea.
First built in 1976, the factory located in Changwon, about 300 kilometers southeast of Seoul, currently produces small products, while demand for larger appliances is expected to rise down the road.
Through the renovation, which will be completed in 2023, the Changwon factory will produce refrigerators, ovens, water purifiers, dishwashers and other kitchen appliances, the company said.
LG Electronics said that the factory will apply information technologies, such as the Internet of Things and artificial intelligence on its manufacturing processes, which will enable more efficient production procedures.
The equipment at the factory will also be updated for improved power efficiency, which will help the line reduce energy consumption by 40 percent.
The company said it will relocate existing facilities temporarily to a nearby location during the construction.