LG Electronics Establishes HE Business Division R&D Corporation in Indonesia

HE Business Division's First Overseas R&D Corporation
'Local Completion-Type Business Structure' Established
Accelerating Global TV Business Expansion and Market Penetration

LG Electronics has established its first overseas research and development (R&D) subsidiary under the HE Business Division, creating a locally integrated business structure that connects development, production, and sales.

On the 6th, LG Electronics held an opening ceremony for the 'LG Electronics Indonesia R&D Subsidiary' (hereafter R&D Subsidiary) in Cibitung, Indonesia. The event was attended by Indonesian government officials, Lee Sang-deok, Ambassador to Indonesia from the Korean government, Park Hyung-se, head of LG Electronics HE Business Division, Jung Jae-cheol, head of HE Research Institute, Lee Choong-hwan, Asia Regional Representative, Lee Tae-jin, head of the Indonesia Sales Subsidiary, and about 80 other key figures.

Exterior view of LG Electronics HE Business Division R&D Corporation newly established in Cibitung, Indonesia. [Photo by LG Electronics]

The 40,000㎡ R&D Subsidiary is located 3.5 km from the Cibitung production subsidiary and about 40 km from Jakarta, the capital where the sales subsidiary is based. With development and production unified, LG Electronics expects improved efficiency in new model development as well as accelerated expansion and market penetration of its global TV business.

At the end of last year, LG Electronics established a development team for Indonesia within the HE Business Division through organizational restructuring, and plans to further accelerate R&D operational efficiency with the establishment of this subsidiary. During his visit to Indonesia in April, LG Electronics President Cho Joo-wan emphasized, "Let us advance an operation method optimized for the local environment and provide world-class QCD (Quality, Cost, Delivery) to strengthen market dominance."

The company plans to gradually expand its research personnel to about 500 by 2025. To strengthen local hiring capabilities, LG Electronics is conducting recruitment and related training for TV R&D development personnel. It is also considering industry-academia cooperation programs with local universities to secure specialized local talent. LG Electronics aims to build infrastructure and DX environments equivalent to those in Korea and establish an independent local development system to develop global target models and secure cost competitiveness through localization.

Meanwhile, Lee So-yeon, currently in charge of Indonesia development under the HE Research Institute, has been appointed as the head of the Indonesia R&D Subsidiary.

Park Hyung-se, head of LG Electronics HE Business Division, said, "With the establishment of a 'locally integrated business structure' that now includes R&D in addition to production, sales, and service, LG Electronics' global display industry competitiveness will be further strengthened. We will play a leading role in technological innovation to expand the global TV business and revitalize the market, while delivering products that meet customer value."

This content was produced with the assistance of AI translation services.