LG Electronics & LG Chem Appoint New CEOs: Lyu Jae-cheol and Kim Dong-choon Lead Strategic Growth & Portfolio Shifts

In a significant leadership overhaul, LG Group has announced new chief executive officers for two of its major affiliates, LG Electronics and LG Chem. These strategic appointments signal a renewed focus on capturing growth momentum and navigating evolving market landscapes.

Lyu Jae-cheol Takes Helm at LG Electronics

Lyu Jae-cheol, previously the widely recognized head of LG Electronics' Home Appliance Solution Division, has been appointed as the new CEO. His promotion, approved by the board on Thursday, follows a successful tenure leading the home appliance business, where he consistently delivered stable sales growth amidst intense global competition.

Lyu, a career engineer who began at GoldStar (LG Electronics' predecessor) in 1989, dedicated over half of his career to research and development. This deep technical foundation later enabled him to effectively lead business operations, significantly bolstering LG's competitiveness in the home appliance sector. Under his leadership since 2021, the division achieved an impressive average annual sales growth rate of 7 percent over the past three years. Notably, LG Electronics secured the top position in the U.S. home appliance market in Q3 this year, with a 21.8 percent cumulative market share, according to market tracker TraQ.line.

His achievements also include spearheading LG’s innovative platform-based home appliance business, which has facilitated over 20 million software upgrades globally since its launch in Korea in 2022 and subsequent expansion to North America and Europe. The company’s appliance subscription program is also rapidly expanding, generating 2 trillion won in revenue from January to September. The home appliance division's strong performance, posting 6.58 trillion won in sales and 365.9 billion won in operating profit in Q3, played a crucial role in LG Electronics' record quarterly earnings, mitigating external challenges like U.S. tariffs and rising shipping costs.

Outgoing CEO Cho Joo-wan, who led the company for four years, is stepping down to facilitate a “desirable transition,” having successfully shifted LG Electronics’ portfolio towards a business-to-business (B2B) structure and diversified revenue streams. Lyu Jae-cheol will now be tasked with accelerating visible results in key B2B areas, including heating, ventilation, and air conditioning systems, and turning around the loss-making TV business, all while managing ongoing cost-cutting efforts and external pressures. To support this vision, Eun Seok-hyun and Lee Jae-sung have been promoted to president positions within vehicle components solutions and energy solutions, respectively.

Kim Dong-choon Assumes Leadership at LG Chem

In a parallel move within the LG Group, LG Chem has named Kim Dong-choon, former head of its advanced material business, as its new CEO and president. He replaces outgoing Vice Chairman Shin Hak-cheol.

This appointment comes as LG Chem, alongside other Korean petrochemical companies, grapples with challenging market conditions, including an oversupply of petrochemicals from China and a broader global economic slowdown. Kim’s leadership is expected to drive a strategic reorientation, shifting the company’s core focus from traditional petrochemicals towards the more promising advanced materials sector. Kim, a specialist in semiconductor materials, rapidly rose through the ranks, being promoted to president just a year after becoming executive vice president.

Other notable promotions across the group include Moon Hyuk-soo, CEO of LG Innotek, who was elevated to president in recognition of his significant contributions to enhancing the company's standing in automotive and robotic components.