IKEA to raise India investment above Rs200bn in five years – report

Swedish location furnishings retailer IKEA plans to rise its concern committedness successful India to much than Rs200bn ($2.18bn) implicit the adjacent 5 years.

According to a Reuters report citing a elder executive, the determination comes arsenic the institution looks to grow its store footprint and summation section sourcing.

The company, which launched its archetypal Indian outlet successful Hyderabad successful 2018, is besides preparing to broaden its e-commerce presence.

Online ordering volition beryllium extended to 4 further cities wherever IKEA does not yet person carnal stores, including Chennai and Coimbatore successful the confederate authorities of Tamil Nadu.

Digital income already relationship for much than 30% of IKEA’s India revenue, with the institution aiming to summation this stock to 40%.

At the aforesaid time, it intends to treble accumulation for some home income and exports to €800m ($930m), IKEA India CEO Patrik Antoni was reported arsenic saying.

The enlargement comes amid a broader displacement by planetary brands to standard up manufacturing and sourcing successful India to negociate costs.

Consumer-facing companies specified arsenic Asics and VinFast Auto person besides been expanding section procurement to enactment their home operations.

Last year, US President Donald Trump imposed higher tariffs connected definite Indian imports, with rates reaching arsenic precocious arsenic 50%, prompting respective industries to see alternate export markets.

Antoni told Reuters that these tariff measures had not had a worldly interaction connected IKEA’s supplier basal successful India, noting that with astir of the company’s stores located successful Europe, a greater stock of accumulation is shipped to markets extracurricular the US.

Recently, IKEA announced plans to adjacent 7 stores successful China from 2 February 2026.

The locations scheduled for closure are IKEA Shanghai Baoshan, IKEA Guangzhou Panyu, and IKEA Tianjin Zhongbei, on with stores successful Nantong, Xuzhou, Ningbo and Harbin.

The institution said the determination forms portion of an optimisation workout aimed astatine improving ratio crossed its carnal and integer channels.

"IKEA to rise India concern supra Rs200bn successful 5 years – report" was primitively created and published by Retail Insight Network, a GlobalData owned brand.

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