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Cho Ju-wan, CEO of LG Electronics (Source: LG Electronics) |
[Alpha Biz= Paul Lee] Cho Ju-wan, CEO of LG Electronics, stated that the company is prepared to immediately ramp up production at its US factory if tariffs are imposed by the United States on Mexican imports.
Speaking with reporters at the regular shareholders' meeting held at the LG Twin Towers in Yeouido, Seoul, Cho said, "As a last resort for tariffs, we have prepared land at our Tennessee plant to produce refrigerators, ovens, and other appliances. The land clearing and construction of temporary structures are already underway, and we will act swiftly once the tariffs are implemented."
While LG Electronics operates a factory in Tennessee, a significant portion of its home appliances sold in the US is sourced from its Mexican factory to remain price competitive. The US government has announced that starting next month, it will impose reciprocal tariffs on the European Union (EU), Canada, Mexico, Russia, Vietnam, and other regions.
Cho emphasized that LG Electronics will focus on growth in new markets in response to geopolitical shifts. "Starting this year, we have added a new strategy pillar, 'regions,' to our existing growth strategy," he explained. "We will focus on discovering business opportunities in emerging markets such as Asia, Latin America, and the Middle East and Africa, collectively known as the 'Global South,' including India."
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
