Ryu Jae-cheol, CEO of LG Electronics, announced plans to develop the newly operational plant in Parana, Brazil, into a strategic production hub for the Latin American market.
On August 24, Ryu stated via social media, "We have taken an important step by launching a new home appliance factory in Parana, Brazil. This facility, which will produce approximately 600,000 refrigerators annually using smart factory technology, signifies more than just an expansion of our production base."
LG Electronics began operations at the Parana plant on August 13. This facility is the company's second production site in Brazil, following the Amazonas plant in Manaus, which was established in 1996, and will focus on refrigerator manufacturing.
The new plant incorporates smart factory solutions based on artificial intelligence (AI) and industrial robots. This initiative aims to enhance production efficiency and quality competitiveness while strengthening process stability.
With the launch of the Parana plant, LG plans to increase the local production share of refrigerators in Brazil. Previously, some refrigerators sold in Brazil were supplied from production bases in Southeast Asia.
Ryu emphasized, "The operation of the Parana plant will significantly expand local production, reduce logistics costs and delivery times, and enhance supply stability and price competitiveness."
In the long term, LG aims to extend the role of the Parana plant beyond the Brazilian domestic market to serve the entire Latin American region. The company envisions strengthening its business competitiveness in the high-growth potential global south market based on local production and supply chains.
Ryu stated, "In the long run, we will develop the Parana plant into a strategic hub that supports not just the Brazilian domestic market but the entire Latin America. The success of a company depends on how competitive it can be in terms of products, production, and supply chains in the local market."
* This article has been translated by AI.
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