LG Electronics Fully Operates Mexico TV Factory... Preparing for Year-End Peak Season

by Lee Dongwoo

Published 16 Nov.2020 10:00(KST)

Reynosa Factory Production Volume Increases by 30% Compared to Previous Year

An LG Electronics employee is producing an LG OLED TV (model 65CX) on the TV production line located in Reynosa, Mexico.

[Asia Economy Reporter Dongwoo Lee] LG Electronics is responding to demand in the North American market ahead of the year-end peak season.

According to LG Electronics on the 16th, the company recently increased TV production at its Reynosa plant in Tamaulipas, northeastern Mexico, by more than 30% compared to last year. Since all TVs produced at the Reynosa plant are supplied to the North American market, this is to prepare for the increased year-end demand such as Black Friday and Christmas.

The Reynosa plant introduced a two-shift production system, day and night, starting in July and began full operation. The start of full operation was about a month earlier than last year.

As demand in the North American market, which had been sluggish due to the COVID-19 pandemic, gradually recovers, U.S. retailers are becoming active ahead of Black Friday, the start of the large-scale shopping season.

Premium TV demand is also expected to increase during the same period. According to market research firm Omdia, OLED TV shipments in the North American market in the fourth quarter of this year are expected to increase by more than 20% compared to the same period last year. Thanks to the increase in premium TV demand, global shipments of OLED TVs are expected to surpass 1 million units in the fourth quarter.

LG Electronics stated that OLED TVs have been recognized in the premium market by receiving the highest ratings among large-sized products over 60 inches in comprehensive TV evaluations by leading U.S. consumer media. They have also been selected multiple times as the ‘Best TV of the Year’ by these media. The leading U.S. IT media Reviewed.com selected LG OLED TV as the best TV and best gaming TV among the 23 best tech products of 2020.

Han Ki-yong, head of LG Electronics’ Reynosa plant, said, “We will ensure that more customers can experience the overwhelming picture quality provided by LG OLED TVs.”