New Delhi, May 6 (PTI) LG Electronics India (LGEI) is targeting sales of one million units from its affordable-premium Essential Series range in FY27, as the company expands its portfolio and begins exports to overseas markets, officials said on Wednesday.
The company plans to export the Essential Series -- launched in October last year -- to 22 countries across Asia, the Middle East and Africa in 2026, signalling India's growing role as a manufacturing and export hub for the firm.
LGEI is also focusing on cost optimisation measures to counter inflationary pressures on input materials arising from geopolitical tensions that have disrupted global supply chains.
To mitigate the impact of such external factors, the company is enhancing operational efficiencies and increasing localisation levels, currently around 58 per cent, said its Director and Co-Chief Sales and Marketing Officer Sanjay Chitkara.
"We always try to handle such situations with cost optimisation, better operational efficiencies and localisation," Chitkara told PTI.
However, he added that price adjustments are sometimes unavoidable. "We have recently undertaken some price revisions. If required, we may also recalibrate our promotion intensity," he said.
Like other manufacturers, LGEI implemented price increases in April in the range of 7-14 per cent, driven by cost volatility.
"We are very watchful. We are running multiple simulations on a daily basis and believe the situation will normalise soon," he added.
The company, which on Wednesday launched its 2026 home appliances range, is further strengthening its affordable-premium Essential Series portfolio as part of its growth strategy.
It has expanded its premium portfolio and also introduced new, advanced, design-led innovations, tailored for everyday use across multiple price points.
"Following the strong response from the consumer and our trade partner in 2026, we are expanding the Essential Series with broader capacity options and across more product categories to serve even more households," said Young Min Hwang, Vice President and Division Leader - Home Solutions.
He further said, "Essential Series are expected to sell over 1 million units this year."
According to Chitkara, besides the domestic market, LGEI is also focusing on exports, which contribute 6-7 per cent of its topline.
"We are exporting to 22 countries, mainly refrigerator, washing machine, air conditioners and compressor products. And now we will start exporting our Essential series also, which we designed for volume zone customers in India, which we call affordable premium," he said.
The addition of this newer product range will give LG India a "better exposure" on exports and enable it to scale it rapidly, Chitkara added.
"LG India is a part of global sales strategy, and we want to develop LG India as a global manufacturing hub," he added.
While updating the development over its Sri City, Andhra Pradesh-based plant, where LG is investing around Rs 5,000 crore (USD 600 million), he said from October this year, testing of production lines will start, and in December, mass production will start.
On the domestic market, he said the current penetration level is very low compared to other developed markets; hence, it is investing in capacity in anticipation of future demand.
"Considering such growth projections, it is very important for us to plan for our future and invest in capacities. So we took a very strategic decision to invest in our third plant," he said, adding, "The project is going as per our plan."
According to Chitkara, the LG Electronics India Sri City plant "is totally aligned with our Make in India drive and Make in India for Global also. It will open many doors for future exports".
India is among the top-five markets for the South Korean Chaebol. LGEI's consolidated revenue in FY25 was at Rs 24,630.63 crore.