LG to Invest MX$3.5 Billion in New Queretaro Plant

South Korean electronics company LG announced a MX$3.5 billion (US$205 million) investment for a new plant in Queretaro to manufacture automotive cameras, LEDs, motors, and other components. The facility is expected to generate 630 jobs in its first phase, with plans to double the workforce in the near future, LG said on Monday.

The investment announcement was formalized during a meeting led by LG President Taekjoo Lee, accompanied by Chief Financial Officer Kyein Shin, Safety and Hygiene Manager Rin Kim, and Human Resources Manager Víctor Hugo Arroyo.

LG currently operates a plant in San Juan del Río, employing 600 workers. With this new project, the company is expanding its footprint in Queretaro to meet growing demand for advanced mobility and electronics solutions.

The South Korean firm manufactures electronic components and materials for industries including automotive, mobile devices, consumer electronics, and IoT. Its portfolio includes camera modules, displays, semiconductors and vehicle lighting solutions, as well as technologies tied to Industry 4.0 such as 5G/6G, electric vehicles, and autonomous systems.

Local officials said the investment strengthens Queretaro’s role as a technology and industrial hub, positioning the state as a key player in global automotive supply chains and next-generation technology manufacturing.

LG has previously announced a US$100 million investment to double production at its Reynosa plant, reaching 6.5 million OLED televisions annually for domestic and export markets, MBN reported at the start of 2025.

Bilateral Trade

According to the South Korean Embassy in Mexico, strengthening institutional frameworks and expanding cooperation in trade and investment remain top priorities for the country. In 2024, bilateral trade reached significant volumes, though with a marked trade deficit for Mexico, as reported by MBN. 

Exports from Mexico to South Korea amounted to US$6.16 billion in 2024, 1% of Mexico’s total exports. The main products were piston, rotary, or reciprocating engines, worth US$686 million. Leading exporting entities were Mexico City (US$1.29 billion), Sonora (US$385 million), and Nuevo Leon (US$157 million). Meanwhile, imports from South Korea to Mexico amounted to US$23 billion, 3.62% of Mexico’s total imports. The main products were machine parts and accessories worth US$2.53 billion. Main importing states included Chihuahua (US$5.56 billion), Nuevo Leon (US$4.92 billion), and Baja California (US$2.35 billion).

According to the Academy of Korean Studies, over 1,900 South Korean companies operate in Mexico, including industry leaders like Samsung, LG, Hyundai, Kia, and Daewoo, with operations in Monterrey, Puebla, Tijuana, Guadalajara, Queretaro, Tampico, and Celaya.

The country is collaborating with Mexico to advance smart city projects. The Roadshow for Smart Cities and Digital Government, held in March 2025 by KOTRA, brought South Korean tech firms to explore digital infrastructure opportunities in Mexico. With 80% internet penetration and ranking sixth in the Global Innovation Index, South Korea offers valuable expertise for Mexico, the second-largest smart city market in Latin America.