LG wants India to be its global factory as exports become next growth bet

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Key points

• (Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.).
• LG Electronics India is looking to exports and B2B products as key expansion drivers as its Korean parent seeks to create India a global manufacturing hub.
• Lg electronics indiaLG ElectronicsLG Electronics indiaLG saleLG Electronics Indiageopolitical riskshome appliancesSri City plant.
• The company's leadership was interacting with shareholders on Friday at its first annual general session since going public, held virtually.
• FMCG, auto and consumer firms step up festive marketing spends by up to 20%.

LG Electronics India bets on exports, B2B products for margin boost.

LG Electronics India bets on exports, B2B products for margin boost. ET BureauLast Updated: Aug 21, 2026, 11: 40: 00 PM IST.

LG Electronics India is looking to exports and B2B products as key expansion drivers as its Korean parent seeks to create India a global manufacturing hub. The firm expects these businesses to assist improve margins against the backdrop of pressure from higher raw material costs, rupee depreciation and geopolitical risks.

As its Korean parent seeks to turn India into a global manufacturing hub producing both mass-market and premium products for markets worldwide, senior executives stated, kolkata: LG Electronics India is banking on exports and business-to-business (B2B) products as the next expansion engines. The country's largest home appliance maker expects focus on these two areas to support expand margins at a time when profitability is under pressure from rising raw material costs, rupee depreciation and geopolitical risks. "Our vision is to create India a global manufacturing hub. The best way to protect against geopolitical risk is to add geographical diversification so that we are not dependent on any specific region, " LG Electronics India chief accounting officer Atul Khanna remarked.

Notably, the company's leadership was interacting with shareholders on Friday at its first annual general session since going public, held virtually. Live Events.

Exports contributed 6% to LG India's total sales last fiscal year. Khanna remarked the business has significantly expanded its export footprint in recent months, reaching 50 countries throughout Southeast Asia, the Middle East, Africa and some developed markets. The portfolio includes premium products such as side-by-side refrigerators and large-capacity front-load washing machines. LG Electronics India co-chief of marketing and sales Sanjay Chitkara remarked the business intends to export its lately introduced Essential series of mass-market products to 22 countries by the end of this calendar year. For context, the firm is additionally putting greater emphasis on its B2B business, where it is looking to gain market share in system air conditioners, commercial displays, IT products and enterprise solutions. "This is a growth engine and has relatively better margins, " Chitkara remarked. LG has a value leadership market position throughout a number of consumer durables categories, including air conditioners, refrigerators and washing machines. The company's ₹5, 000 crore manufacturing plant at Sri City in Andhra Pradesh is additionally anticipated to commence the first phase of production by the end of this year. Meanwhile, the facility will initially cater to southern markets before progressively focusing on exports. It will manufacture air conditioners and compressors, refrigerators and washing machines. The project is funded completely through internal accruals, remarked Khanna. Add Now!

In short, LG wants India to be its global factory as exports become next is the central thread here, and readers can expect follow-up reporting as the picture becomes clearer.