Electronics

LG Electronics said on the 29th that LG Magna Electric Powertrain Co., Ltd., a joint venture between LG Electronics and Canada's Magna, recently decided to invest 101.6 billion won in the Nanjing plant in China to expand equipment.

According to the Korea Economic Report on June 29, LG Electronics said on the 29th that LG Magna Electric Powertrain Co., Ltd., a joint venture between LG Electronics and Canada’s Magna, recently decided to invest 101.6 billion won in the Nanjing plant in China for expansion. equipment.

The Nanjing plant mainly produces core components such as electric vehicle drive motors and inverters. LG Magna plans to significantly increase the output of the Nanjing plant through this investment. It is reported that LG Magna Electric Powertrain Company was established on July 1 last year. The company has production bases in Incheon and Nanjing, and started construction in Mexico in April this year. Since its establishment last year, the company has achieved sales of 250 billion won in just six months, attracting industry attention.

LG Magna said that the new orders and sales network are constantly expanding. In the case of semiconductor shortages or rising raw material prices, this year's sales will continue to grow, and profitability will also improve. Therefore, the company plans to focus on the three major electric vehicle markets in China, Europe and the United States by expanding production.

LG Electronics said that it is expected that the synergy between LG Electronics and LG Magna will officially appear after 2024, and the average annual sales growth rate of LG Magna will exceed 50% by 2025.