LG opens Brazil refrigerator plant in Global South push

LG Electronics said Monday it has begun operating a new refrigerator plant in Brazil, expanding its production capacity as it targets faster growth across the Global South.

The facility in Parana state began operations on Thursday and can produce about 600,000 refrigerators annually. It is LG’s second manufacturing base in Brazil, following its Manaus plant in Amazonas state, which opened in 1996.

The new plant uses artificial intelligence and industrial robots to improve productivity and quality. Vision AI and digital twin technology help detect potential abnormalities early, while automated equipment is designed to improve workplace safety and lower costs.

LG plans to use the expanded production base to introduce appliances tailored to Brazilian consumers.

Refrigerators made at the plant will offer dual-voltage capability to accommodate the different voltage standards used across Brazil. They will also feature internal LED sterilization and rapid-cooling functions suited to the country’s hot, humid climate.

LG said the Parana facility could eventually become an export hub serving the wider South American market.

Located in southern Brazil, the plant offers access to major regional markets including Argentina and Uruguay. It can also benefit from tariff-free trade within Mercosur, giving LG greater flexibility in responding to changes in trade and supply chains.

The investment supports LG’s broader Global South strategy. The company is pursuing premium demand in developed markets such as North America and Europe while expanding in high-volume segments across emerging economies to drive both sales and profit.

India, Brazil and Saudi Arabia are at the center of that push. LG’s combined sales in the three markets reached 6.2 trillion won ($4.4 billion), increasing more than 20 percent over two years.

“With the expanded production capacity provided by the new Parana plant, we will ensure stable supplies and introduce appliances tailored to local needs,” said Baek Seung-tae, head of LG Electronics’ Home Appliance Solution Company.

“We will deliver differentiated experiences to consumers in Brazil and across Latin America while strengthening our market position.”

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