LG to build third India factory in Sri City as country becomes top global RAC market

LG Electronics is anchoring a Made-in-India RAC strategy with a new Sri City plant to serve southern India and exports, calling India its largest residential AC market and a top-three HVAC market worldwide. AC penetration has climbed to 12% from 7% a year ago, even as component costs forced three price hikes.

— Filed Mon, 15 Jun, 2026, 18:50 IST · Source The Hindu BusinessLine · Updated

LG Electronics calls India its top residential AC market and a top-three HVAC market globally, building a third factory in Sri City to support southern India, exports and a Made-in-India RAC strategy amid rising component costs.

Why this matters

Sri City builds on LG's India bets: scaling appliance rentals, premium-store soft launch, and doubling down on India as its top global RAC market despite cost-driven price hikes.

Retail-brand activity steady at 1,494 signals over the last 90 days.

Also reported by