LG Electronics is entering 2026 with a sweeping leadership transition and organizational overhaul aimed at strengthening its core businesses while accelerating growth in high-potential future technologies. At the center of these changes is the appointment of Lyu Jae-cheol as the new Chief Executive Officer, signaling LG’s renewed focus on operational fundamentals, innovation, and long-term competitiveness.
All appointments and structural changes will take effect on December 1, 2025, with promotions effective January 1, 2026.
Lyu Jae-cheol Named New LG Electronics CEO
LG Electronics has officially appointed Lyu Jae-cheol as its new CEO, effective December 1. Formerly the head of LG’s Home Appliance Solution (HS) Company, Lyu has been instrumental in driving sustainable growth by expanding B2B operations, subscription-based services, and direct-to-consumer (D2C) business models.
Under his leadership, LG’s home appliance division not only maintained global leadership but also adapted to changing consumer behavior through digital channels and service-oriented offerings. As CEO, Lyu is expected to scale this customer-first, value-driven DNA across all LG businesses.
His appointment reflects LG’s strategy to reinforce its foundations while navigating a challenging global environment marked by cautious consumer spending and intensifying competition.
From Researcher to CEO: A Deep Technical Leader
Lyu Jae-cheol joined Goldstar—now LG Electronics—in 1989 as a researcher in the Home Appliance Research Center. Nearly half of his career has been spent in R&D, shaping LG’s technological leadership in home appliances.
Since 2021, he has led the H&A (now HS) Company, during which LG solidified its position as the world’s No. 1 home appliance brand. Despite market headwinds, Lyu strengthened flagship product competitiveness while laying the groundwork for sustainable growth through continuous innovation.
He also expanded the business portfolio into appliance subscriptions, online sales channels, and B2B segments such as built-in appliances and component solutions—areas that are now critical to LG’s future growth strategy.
Leadership Transition: William Cho Steps Down as CEO
Current CEO William Cho will step down to support a smooth leadership transition after a four-year tenure marked by strategic transformation. Cho, who joined LG in 1987, dedicated 37 years to the company and played a key role in redefining LG’s long-term direction.
During his leadership, LG expanded beyond traditional home appliances into mobility, commercial solutions, and smart living ecosystems. He also championed LG’s vision of becoming a Smart Life Solution Company, connecting customer experiences across homes, vehicles, and commercial spaces.
Cho’s strategic priorities—growth in B2B, non-hardware services, D2C models, Global South markets, and new business domains—remain central pillars of LG’s roadmap moving forward.
Strengthening LG’s B2B Leadership
To further accelerate LG’s B2B growth, the company has promoted two key leaders to president:
- Eun Seok-hyun, head of the Vehicle Solution (VS) Company
- James Lee, head of the Eco Solution (ES) Company
These promotions underscore LG’s commitment to expanding its vehicle solutions and HVAC businesses, both seen as long-term growth engines.
Meanwhile, Kwack Do-yeong has been appointed Region Representative for North America and head of LG Electronics USA, bringing deep sales and strategy experience to one of LG’s most important markets.
2026 Organizational Restructure: Faster, Leaner, More Focused
LG’s 2026 organizational changes are designed to improve decision-making speed, execution efficiency, and strategic focus. The company will retain its existing four-Company structure, ensuring accountability at the business-unit level while integrating similar functions across organizations to streamline operations.
With Lyu Jae-cheol moving into the CEO role, Baek Seung-tae, formerly head of Kitchen Solutions, will take over leadership of the HS Company. Baek brings extensive experience across living and kitchen appliance businesses and is expected to strengthen LG’s global production strategy amid shifting market conditions.
The heads of the Media Entertainment Solution (MS), VS, and ES Companies will remain in their roles to ensure continuity and momentum.
Investing in Future Growth: HVAC, webOS, Robotics, and AI
Alongside efficiency improvements, LG is aggressively building new growth engines across high-potential domains:
Home Appliance Solution (HS) Company
- Establishment of an HS B2B Overseas Sales Division
- Elevation of the Built-in/Cooking Business Division to full Business status
- Creation of a new HS Robotics Lab, led by Research Fellow Lee Jae-wook, previously in charge of LG’s Humanoid Robot Task
Media Entertainment Solution (MS) Company
- Integration of TV and IT into a unified Display Business
- Creation of a Display Product Development Group
- Elevation of the webOS Advertisement Business to strengthen LG’s services ecosystem
Eco Solution (ES) Company
- Launch of an Applied Business Division focused on HVAC solutions for data centers, nuclear power, refrigeration, and advanced ventilation
- Establishment of ES M&A and ES Overseas Sales Divisions to support localized global expansion
Chief Technology Office (CTO)
- Creation of an HS Advanced Research Lab
- Launch of a Next-Generation Computing Lab focused on quantum computing, distributed systems, and next-gen security
Companywide AI Transformation
LG will integrate its existing DX Center and Business Process Innovation Division into a new AX Center, led by Cho Jung-bum. This unit will drive AI adoption across operations, R&D, and employee capabilities—marking a major push toward AI-native processes.
What This Means for LG Moving Forward
These changes position LG Electronics for a more agile, technology-driven future—one that balances strong fundamentals with bold investments in AI, robotics, HVAC, and software-based services. With Lyu Jae-cheol at the helm, LG appears set to double down on what it does best while preparing for the next era of smart living.
