Sri City: LG Electronics Inc. announced plans to break ground on a new home appliance factory in India, marking a significant investment in the burgeoning South Asian market.

According to Yonhap News Agency, the groundbreaking ceremony for the facility in Sri City, located in the eastern state of Andhra Pradesh, will feature attendance from local dignitaries, including Nara Lokesh, the minister for human resources development of Andhra Pradesh, alongside LG Electronics executives such as President Lyu Jae-cheol, head of the home appliance division.

The plant represents a $600 million investment and is projected to commence production by the end of 2026. It will boast an annual manufacturing capacity of 800,000 refrigerators, 850,000 washing machines, 1.5 million air conditioners, and 2 million air conditioner compressors.

This new facility will become LG Electronics' third production base in India, complementing existing plants in Noida, Uttar Pradesh, and Pune, Maharashtra. The Sri City plant is anticipated to serve as a regional manufacturing hub for India and neighboring markets, including the Middle East and Bangladesh.

LG Electronics emphasized that the new plant will bolster its local supply chain and enhance its leadership position in India's expanding consumer durables market. President Lyu highlighted the strategic importance of the Sri City plant, stating it underscores LG Electronics' dedication to becoming a prominent national brand in India, with a focus on delivering innovative products through an improved local supply chain.