LG shifts TV production from Korea to Indonesia
The Southeast Asian country will its TV production hub, company says
LG Electronics will shift some of its TV production in South Korea to Indonesia, the company announced Wednesday.
Two of the six production line in Gumi, South Korea will be shifted to the company’s Cibitung plant to the Southeast Asian country.
LG said the shift will boost efficiency of its global TV manufacturing, allowing the company to better supply consumers in Asia and Australia.
The Cibitung plant, which began operations in 1995, will see its annual production capacity increase by 50 percent after the realignment is complete, LG said.
The plant produces TVs as well as signage.
The Gumi plant will focus on making high-end TV products such as rollable and wallpaper models, the Korean company said.
Europe will still get their supply of TVs from LG’s Mlawa plant in Poland, while its factories in Reynosa and Mexicali in Mexico will continue to supply North America, the Korean company said.
LG’s TV business saw operating income of 326 billion won, a rise of 31.7%, in the first quarter. But the company said second quarter results are to fall.