LG plans to ride on anti-China sentiment to come back to Indian smartphone market

(Representative Image)

LG Electronics is planning to re-enter the highly-competitive smartphone market in India as it sees a "window of opportunity" amid the anti-China sentiment in the country, reported The Economic Times.

The South Korean electronics major is currently mulling a comeback in the sub-Rs 15,000 segment which is currently dominated by Chinese companies. It will move on to the flagship territory later on.

The anti-China sentiment in the country, which reached its peak due to border skirmishes in Ladakh, has resulted in a 10 times increase in its smartphone sales in the past two months, Advait Vaidya, business head - mobile communications at LG Electronics told the daily.

“The short-term window of opportunity is big enough for us to enter the space and achieve scale,” he said.

As a result, LG is planning to scale up local manufacturing by 15 times until Diwali along with expanding its distribution network.

To cater to the unique demands on Indian consumers, LG is building an ‘India specific and India first’ product portfolio, Vaidya said.

“So, this year, starting August, we will be launching six phones across all segments - starting from the sub Rs 10,000 category up to the flagship segment. We are ramping up distribution across channels, online and offline,” Vaidya said adding that the sub Rs 15,000 segment will by LG's focus for 2020.

LG may also enter the tablet market by year-end, he added

LG is currently in advanced discussions with "one of the largest" contract manufacturers in India. It will make a formal announcement once an agreement is reached.