LG Electronics said it aims to make India its second-largest global production base after China by boosting sales there ten times by 2010.
LG CEO S. S. Kim said the company plans to invest another U.S. $150 million in India by 2007, including a $53-million second home appliance plant and a $43-million GSM handset production line by 2005.
"LG Electronics is committed to making India its second-largest global production base after China. We will achieve $10 billion in sales in India by 2010 to leap toward a global top three position," Mr. Kim said in a statement issued in Seoul and India.
The statement followed a groundbreaking ceremony for LG's second home appliance plant in Pune, India.
"LG Electronics will use its existing plant in northern New Delhi and the new Pune plant in the southern area as its export hubs, and penetrate the Asia, Middle East, and Africa markets," Mr. Kim said.
LG plans to install a GSM handset production line in the new Pune plant by early next year, initially producing 2 million units per year and then expanding capacity to 10 million units by 2010.
It will also expand its current 750 research and development staff in India to 1,500 by 2007 with a budget of 54 million dollars, striving to develop premium products and export 30 percent of India-manufactured products to Asia, Middle East and Africa markets by 2007. (AFP)
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