Seoul-headquartered LG Electronics Inc. is pulling out of the worldwide photo voltaic panel enterprise. The choice was permitted yesterday by the LG board of administrators in South Korea.
Competitors with Chinese language rivals’ decrease costs has made it onerous for LG to compete.
John I. Taylor, senior vice chairman of LG Electronics USA Inc., defined the explanation to Electrek by way of e mail:
The choice was primarily based on elements like growing materials prices, growing logistics prices, and provide chain constraints.
This announcement appears to be like forward as LG concentrates on different high-value services and products like vitality storage techniques and vitality administration options. These applied sciences complement LG’s energy-efficient product choices, from warmth pump dryers and water heaters to superior HVAC options to industry-leading Power Star licensed residence home equipment to call a number of.
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Panel manufacturing will wind down this spring, and LG says it can proceed to help its US photo voltaic clients by honoring all restricted warranties.
The choice to close down photo voltaic manufacturing will affect round 160 staff and 60 contract employees at LG’s company campus in Huntsville, Alabama. The corporate has been assembling photo voltaic panels there since 2018.
Thomas Yoon, president and CEO, LG Electronics North America, mentioned in an announcement:
We hope we are able to retain lots of our gifted and devoted staff.
The corporate is assembly with US photo voltaic panel employees to determine potential alternatives inside different LG enterprise and manufacturing models. Workers who is not going to be persevering with with LG might be supplied transition help and severance packages commensurate with their tenure with the corporate.
Should you personal LG photo voltaic panels, you may entry extra info right here, or you may name LG’s buyer help heart at 1-833-388-2121.
This announcement is an actual disgrace, as LG Photo voltaic panels had been ranked by impartial comparability web site SolarReviews in November because the No. 1 photo voltaic panel model. LG largely manufactured photo voltaic panels for the residential and small industrial markets.
It’s additionally a fear at a time when the Biden administration is making an attempt to ramp up home clear vitality manufacturing and jobs.
We hope LG takes excellent care of each its employees in Huntsville who’re dropping their jobs and its clients who already personal LG photo voltaic panels. We’re additionally wanting to see the corporate ship on its declared intent to concentrate on vitality storage and administration.
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