LG Electronics expands chiller production for AI data centers
The company plans to invest a total of USD 110 million in a new air-cooled chiller production facility in the US and in expanding two air-cooled chiller production lines in South Korea.
LG Electronics (LG) is expanding its chiller manufacturing capabilities with a new production facility in the United States and increased production capacity in South Korea, further strengthening its ability to deliver end-to-end cooling solutions for AI data centers (AIDCs).
The company’s new air-cooled chiller production facility in Windsor, Virginia will produce air-cooled chillers for AIDCs, with production scheduled to begin in the first half of 2027. The facility’s chiller production will support a stable, responsive supply system for rising demand across North America, while serving as a strategic base for LG’s regional expansion, the company said.
LG is also expanding its air-cooled chiller production lines in Pyeongtaek and Changwon, South Korea. The company is improving operational efficiency by adopting a conveyor-based production system designed for mass production.
The company plans to invest a total of KRW 150 billion (about USD 110 million) in its new US facility and its factories in Pyeongtaek and Changwon.
LG is also broadening its AIDC thermal management business through its Chip-to-Chiller solution strategy. The portfolio includes chillers, Coolant Distribution Units (CDUs) and cold plates that absorb heat directly from chips.
LG is pursuing additional AIDC projects in North America through its relationships with leading hyperscalers and big tech companies. In Asia, LG is applying its “One LG” strategy by combining heating, ventilation and air conditioning technologies with battery solutions and data center design, build and operation capabilities from other LG affiliates. LG is also applying this integrated approach to Sinar Mas Group’s hyperscale AIDC project in Jakarta, Indonesia, the company said.
“We will continue to strengthen our core capabilities in AI data center cooling solutions, from differentiated product technologies to production capacity,” said James Lee, president of the LG Eco Solution Company. “With these capabilities, we will ensure a stable supply and actively address rapidly growing market demand.”
