Tatung Corp of Taiwan yesterday started work on a factory, its first in Vietnam, in My Phuoc 2 Industrial Park in Binh Duong Province. Company president W.S. Lin said the factory, covering 40 hectares, would go online in the middle of next year when the first US$35 million phase is completed.
The factory will produce electric household appliances, such as fridges, fans, microwaves and cookers.
After the second US$10 million phase, the factory will also make air-conditioners, washing machines, dishwashers, communication equipment and electric household appliances.
Lin said the company expected to sell more than three million household appliances within the first three-years. He said the products were of high quality and had low prices so that Tatung hoped to sell them in all of Southeast Asia.
Tatung decided to invest in Vietnam to meet the developing demands in the Southeast Asian market, according to Lin.
“Coming to the region many times to investigate the environment, we found Vietnam is the best because of its abundance of friendly and clever workers, the stable political situation and the many investment incentives,” Lin said.
He added Tatung may even turn the factory into the company’s main one eventually, increasing the plant’s capital by at least 20 times.
Tatung had a turnover of US$3 billion last year. The company, which was founded in 1918, sells electronic and electrical appliances, telephones and cables in 12 countries in Europe, America and Asia.