On the 23rd in early trading, LG Electronics is surging more than 11%. A short-term boost from a U.S. ruling that cross tariffs are unlawful appears to be at play, along with buying on news of LG Electronics' strategy to expand in emerging markets.
As of 10:51 a.m. that day, in the main board, LG Electronics is trading at 137,700 won, up 14,100 won (11.41%) from the previous session. The share price climbed as high as 139,500 won intraday, setting a 52-week high.
Earlier, on the 20th (local time), the U.S. Supreme Court ruled that President Trump's cross-tariff measures imposed on countries around the world under the International Emergency Economic Powers Act (IEEPA) were unlawful. On the impact of this measure on the Korean stock market, KB Securities analyzed, "The 'legal sustainability of blanket tariffs' has been undermined, and with the recovery of export competitiveness relative to other countries reducing some downside risks, indirect benefits are expected."
News of LG Electronics' strategy to expand in emerging markets also appears to have influenced investor sentiment.
On the 23rd, LG Electronics said it will accelerate business growth in regions such as India, Saudi Arabia, and Brazil. The goal is to double sales from current levels by 2030. LG Electronics' sales in those regions last year were about 6.2 trillion won, up more than 20% from 2023.
LG Electronics is building a new production facility with a site area of 767,000 square meters in Paraná state in southern Brazil, investing more than $200 million (about 290 billion won), with the goal of starting operations within the year.