LG Innotek has announced the completion of its expanded camera module plant (V3) in Hai Phong, Vietnam. This significant expansion, part of a larger $1 billion investment pledged in July 2023, more than doubles the company’s camera module production capacity in Vietnam. The sprawling 150,000-square-meter facility ensures a stable supply of camera modules to major smartphone manufacturers operating in the region. This strategic move is a key element in LG Innotek’s plan to maintain cost competitiveness against Chinese rivals.
Simultaneously, LG Innotek continues to invest heavily in its Korean facilities. A $430 million investment in its Gumi plant, finalized in March 2025, will focus on high-value-added camera modules and research and development. The company plans to leverage its Gumi plant as a “mother factory,” while utilizing its Paju facility for advanced camera modules and 3D sensing technologies. This multi-channel strategy allows for specialization and efficiency across its production network.
The Vietnam plant will serve as the primary manufacturing hub for general-purpose camera modules, offering a cost-effective solution while maintaining high production volume. This dual-pronged approach, combining high-tech Korean facilities with a cost-effective Vietnamese base, positions LG Innotek for sustained growth and profitability.
Furthermore, LG Innotek is integrating AI technologies to streamline its operations and reduce costs. The implementation of AI-powered inspection systems has drastically reduced defect identification time, improving efficiency and boosting overall productivity—this commitment to innovation underlines LG Innotek’s dedication to maintaining its market leadership. CEO Moon Hyuk-soo anticipates that the expanded capacity will lead to gradual improvements in profitability within the camera module sector.
LG Innotek’s strategic investment in both Vietnam and Korea represents a proactive response to the evolving global market landscape. The company aims to leverage its diversified manufacturing capabilities and technological advancements to solidify its position as a leading provider of camera modules.
