A Future Growth Driver
LG Group is strengthening its automotive electronics business. Group chairman Koo Kwang-mo has selected the automotive electronics business as one of the group’s future growth drivers.
LG Electronics' business report shows that the company is running the Hyundai Task unit at the VS Smart Research Institute at the VS Business Division. "Hyundai" of the Hyundai Task unit seems to refer to Hyundai Motor Group. Analysts say that the organization was temporarily set up to develop next-generation components for Hyundai Motor Group.
LG Electronics is smoothly proceeding with the formation of LG Magna e-Powertrain, a joint venture with Magna International, the world's third-largest automotive parts company. LG Electronics announced on Aug. 24 the top management of the joint venture. Javier Perez, who was in charge of production and quality control for the Asia region at Magna International, was named as the chief operating officer (COO).
LG Innotek has achieved a significant improvement in automotive motor and sensor production capacity and earnings. Its automobile communication business also saw production performance rise by more than 40 percent. "We are striving to secure advanced technologies in autonomous driving and electric vehicles, such as high-precision sensors, automobile communication, battery charging and power modules," said Jeong Cheol-dong, CEO of LG Innotek.
LG Energy Solution, an electric vehicle battery maker, is expected to increase its size as it is pushing for an IPO in the second half of 2021. The company already has the world's largest battery production capacity of 120GWh that can power about 1.65 million units of electric vehicles.