ZKW Integrates LG’s Rear Light Business and Set up New Location in Korea and China

The ZKW Group, which was acquired by LG Electronics in 2018, announced that it has established a branch in Incheon, Korea in December 2019, with the integration with the rear light business of LG Electronics. The company also integrated the rear light production of LG Electronics in Ningbo, China. These new locations are added with the aim to further expand business in the Korean automotive market and the Asia-Pacific region.


(Image: ZKW)

At the time ZKW was acquired by LG in 2018, it was already agreed that the “Exterior Lighting for Automotive” business unit would be jointly developed from that point, and that ZKW’s core competence in headlights would be merged with LG’s rear light business. This makes ZKW the competence center for lighting in LG Electronics’ Vehicle Solution segment.

“The rear light business is a strategically valuable component for us because we have not been active in this segment in the past,” said Oliver Schubert, CEO of the ZKW Group. “ZKW Korea will be a key development office and by adding these specialists in Korea, we gain additional expertise and capacity. We are very pleased that we were able to bring the highly qualified LG Electronics employees on board.” Staffing of the Korean office will be increased to around 80 by the end of 2020. They develop lighting systems with a focus on rear lights.

The rear lights developed to date are manufactured in Ningbo, China. The production site in Ningbo was previously managed by LG Electronics’ Vehicle Solution and is now under the responsibility of ZKW. Ningbo is the extended workbench of the existing ZKW site in Dalian. Both production facilities are located close to strategically important trading hubs. “The acquisition of the Ningbo plant means ZKW is now a full-range supplier of headlights and rear lights. We are striving to achieve strong growth in the Asian market and intend to increasingly supply local customers locally. We benefit from LG’s strong network,” Schubert added.

Related reading:

LG Acquires Global Premium Automotive Lighting Company ZKW Group

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