LG RAMPS UP APPLIANCE CAPACITY IN EUROPE WITH EXPANSION IN POLAND
SEOUL, Aug. 31, 2010 -– LG Electronics (LG) today announced plans to expand its production facilities in Wroclaw, Poland as a component of its strategy to become the worlds’ largest home appliance company in four years’ time.
LG will increase production of washing machines and refrigerators — two of LG’s most popular appliance products – in Poland, a key production hub in Europe for the company. The addition of a new manufacturing line for washing machines next year will mean that the Wroclaw plant will be able to produce 700,000 units a year. And starting in 2012, output of refrigerators will expand to 1.4 million units from the current 300,000 units.
Given that demand in Europe often has to be met with machines manufactured in China or South Korea, LG expects the increased capacity from Poland to lead to significant cost savings and more efficient supply chain management, the benefits being passed on to consumers in Europe. A large part of the increased production is to prepare for the rising demand for appliances in North African markets such as Morocco and Tunisia.
“The European appliance market is critical to our future success and we are confident in our ability to keep up with the growing demand from consumers there,” said Young-ha Lee, President and CEO of LG Electronics Home Appliance Company. “Increasing our presence in Poland allows us to better address Europe and North Africa demands, putting us well on course to become the world’s top home appliance company by the middle of the decade.”
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About LG Electronics, Inc.
LG Electronics, Inc. is a global leader and technology innovator in consumer electronics, mobile communications and home appliances, employing more than 80,000 people working in over 115 operations around the world. With 2009 global sales of 55.5 trillion Korean Won (43.4 billion US Dollars), LG comprises of five business units –- Home Entertainment, Mobile Communications, Home Appliance, Air Conditioning and Business Solutions. LG is one of the world’s leading producers of flat panel TVs, audio and video products, mobile handsets, air conditioners and washing machines. LG has signed a long-term agreement to become both a Global Partner of Formula 1™ and a Technology Partner of Formula 1™. As part of this top-level association, LG acquires exclusive designations and marketing rights as the official consumer electronics, mobile phone and data processor of this global sporting event. For more information, please visit www.lg.com.
About LG Electronics Home Appliance Company
The LG Electronics Home Appliance Company is an innovator in the home appliance industry, dedicated to offering healthier and greener products, blending smart technology and trend-setting design and providing a complete solution for improving daily life. LG’s insightful products, including refrigerators, washing machines, dishwashers, cooking appliances, vacuum cleaners, and built-in appliances, are designed to resonate with consumers around the world. LG’s innovative technologies and convenient features, including the world’s first interactive refrigerator, steam washing machine and combination oven and microwave, set new trends in the appliance industry, helping to establish LG as a global leader.