By Kim Yoo-chul
Samsung Electronics aims to be No.1 in the refrigerator market, a senior company executive said, beating U.S. maker Whirlpool.
In a news conference, the head of Samsung’s home appliances division Hong Chang-wan told reporters that it will produce at least 10 million refrigerators next year.
Samsung and Whirlpool are neck and neck, leading in their niche markets.
Of the total, Samsung aims to eat up a 12.5 percent global share this year, while Whirlpool is forecast to have 15.8 percent.
``Samsung is very confident of becoming the world’s top manufacturer of refrigerators in 2011, helped by steady investment in research and development (R&D) and bigger production through overseas acquisitions,’’ Hong said.
The executive painted a rosy outlook for other appliances. ``Our goal is simple ― the biggest producer of home appliances by 2013.
The production capacities of cleaners and washers will reach over 10 million from 2013,” he said.
``The investment seems a bit aggressive, however, the amount is needed to respond to rising demand,’’ he said.
Samsung said its refrigerator business may slow down for the remainder of this year from the first half mostly due to uncertainties in the U.S. economy.
``Our business is expected to be slow in the second half, but that’s a conservative outlook. Samsung’s home appliances division has begun reporting profits,’’ Hong said.
Its home appliances division posted operating losses in the second quarter.
``Rising costs in materials, labor and logistics were weighing on Samsung. Samsung was in temporary difficulties,’’ the executive said, adding it was closely monitoring the moves of global economies.
``We have no significant plan to launch massive promotional campaigns. Our profit margin will also be over the industry average,’’ said Hong.
Since the current Samsung Electronics chief executive Choi Gee-sung took the top job, he has been driving efforts to make home appliances more competitive. Samsung Electronics is a world leader in memory chips, flat-screens and flat-screen televisions.