LG said today it will invest 101 million euros (approx. U.S. $124 million) by 2011 in a plant in Poland to produce home appliances and LCD TVs.
LG Electronics of South Korean signed an investment contract today with the government of Poland to build a plant in Wroclaw to produce home appliances and LCD TVs. The plant will have an annual production capacity of 500,000 refrigerators and 3,500,000 LCD TVs. Construction will start early this year and LG says the plant will be operational in the first quarter of 2007.
More than 50 Polish government officials attended the signing ceremony held today in Kobierzyce, near Wroclaw.
“The Wroclaw plant will play a key role in LG becoming the leading producer of premium home appliances and cutting-edge displays in Europe,” said Yoon Byeng-Do, president and CEO of LG Electronics Wroclaw. “The plant will produce LG’s Tromm brand washing machines, system air conditioners and two-door refrigerators, which are experiencing high demand in Europe. Together with the DTV plant in Mlawa producing Plasma and LCD TVs, the Wroclaw plant will spearhead LG’s home appliance and display business in Europe.”
LG also expects to cooperate closely with the nearby LG.Philips LCD plant, which has an annual capacity of 11 million LCDs. In case of a sudden increase in demand for LCD TVs in Europe, LG says it will be assured of a steady supply of parts to meet a tight production deadline.
The plant in Wroclaw will be LG’s 14th global production site and its third production facility in Poland. The company opened its Mlawa, Poland plant in 1999, where it now has two lines producing plasma and LCD TVs. LG also has production facilities in Korean, Mexico, the United Kingdom, Turkey, Thailand, Vietnam, Indonesia, Kazakhstan, and Egypt.
