Smart Factory Orders at LG Electronics Expected to Reach 400 Billion Won
Aiming for 1 Trillion Won by 2030... Expanding Global Partnerships
Cho Joo-wan, CEO of LG Electronics, has identified smart factories as the core technology that will lead the future of manufacturing, and stated that LG Electronics is actively pursuing significant growth in this field.
On June 5, in a post on his social media account, CEO Cho said, "Manufacturing is now undergoing a major transformation, requiring both AI- and data-driven operations, as well as sustainability and agility at the same time," adding, "LG Electronics is leading this wave of change based on its 70 years of industrial expertise."
In particular, he cited an article titled "Smart Factories: Innovation Opening a New Era in Manufacturing," contributed on the same day to the company's newsroom by Song Siyong, head of the Smart Factory Business at LG Electronics Production Technology Institute, emphasizing the strategy and vision for the smart factory business.
CEO Cho explained, "LG Electronics is carrying out turnkey smart factory projects across various industries," and added, "We are providing comprehensive support to global partners so they can increase productivity, reduce defect rates, and secure long-term operational resilience."
Since last year, LG Electronics has officially entered the smart factory solutions business focused on B2B transactions. Currently, LG Electronics operates more than 60 manufacturing plants in over 40 countries worldwide, and is providing smart factory technology to external companies based on this manufacturing network. The company explained that it is expanding its business portfolio through these efforts.
Smart factories are gaining attention as next-generation production systems to address structural changes such as labor shortages, population aging, shifts in trade policies, and supply chain restructuring. According to market research firm Precedence Research, the global smart factory market size is projected to more than double from $155.6 billion (about 211 trillion won) in 2023 to $386.4 billion (about 525 trillion won) in 2034.
LG Electronics expects its smart factory solution orders to reach 400 billion won this year. The company also forecasts that cumulative orders will exceed 1 trillion won by 2030.
CEO Cho emphasized, "Technology-driven manufacturing innovation is not a choice but a matter of survival," and added, "Through our smart factory business, LG Electronics is presenting a new paradigm for manufacturing and will continue to secure solid competitiveness in the global market."
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