LG's ₹5,000 Crore Boost to AP's Industrial Dream

LG Electronics India has begun construction of a Rs 5,000 crore manufacturing facility in Sri City, Andhra Pradesh, marking a significant step under the state’s industrial development initiative. Andhra Pradesh IT Minister Nara Lokesh laid the foundation stone on May 8, 2025.

Spread across 247 acres allocated by the state government, the plant is set to commence operations in 2026 with the production of air conditioners. Over the next few years, LG plans to expand manufacturing to include washing machines, refrigerators, and air conditioner compressors, with full-scale production targeted by 2029. At peak capacity, the facility will produce 1.5 million air conditioners, 2 million compressors, 850,000 washing machines, and 800,000 refrigerators annually.

Supported by incentives under the state’s manufacturing policy, the project is expected to generate approximately 1,500 direct and 10,000 indirect jobs. In addition, four of LG’s key vendors are investing a combined Rs 839 crore to establish operations in Sri City, further strengthening the local industrial ecosystem.

News by Rahul Yelligetti.